DCC plc, the international conglomerate that owns Certas Energy, has reported that overall group operating profit for the first quarter ended 30 June 2016 was significantly ahead of the prior year and modestly ahead of expectations.
It said the performance was driven by DCC Energy, which benefitted from acquisitions completed during the prior year and also from strong organic operating profit growth.
In the report it said DCC’s profits were significantly weighted towards the second half of its financial year. At this very early stage in the financial year, the group reiterated its belief that the year ending 31 March 2017 would be another year of profit growth and development.
It said the UK’s decision in the recent referendum to leave the EU was not expected to have any material direct impact on DCC’s business as the group had relatively little cross-border trade.
Almost 50% of the group’s operating profits are generated outside of the UK and so the group’s reported operating profit would benefit modestly from favourable translation should sterling remain at current values, or depreciate further.