‘Uncertain’ outlook for new Aggreko boss
The new boss of temporary power company Aggreko was this morning given a glimpse of the challenge he will face when the Glasgow-based company revealed that the trading outlook remained uncertain.
Chris Weston joins from Centrica on 2 January to replace the ebullient Rupert Soames and will be looking to get the company back on a sustained growth track.
Separately it also announced this morning that it has acquired Golden Triangle Generators (GTG), based in Frodsham in the northwest of England. GTG is a provider of rental power solutions to customers throughout Merseyside, Cheshire and North Wales.
Aggreko , which experienced rapid expansion during Soames’ early years, has seen some of its markets contract. Today’s statement shows it is continuing to deliver year on year growth in North America, the UK, parts of the Middle East and a number of our newer markets; however, more challenging trading conditions remain in Australia, Brazil and much of continental Europe. Regionally, the Americas business grew 5% and the EMEA business grew 7%, whilst the Asia Pacific business declined 9%.
The group has continued to perform in line with expectations but tougher comparatives mean that growth in the local business will be at a lower level in the second half.
In Power Projects, year to date order intake is stronger than last year and the company is encouraged with the recent progress on contract extensions. However, it said the market environment continues to be uncertain.
Underlying group revenue in the third quarter was 6% ahead of the same period last year, with reported revenues significantly impacted by adverse currency movements, decreasing by 3%. Underlying trading profit for the full year is expected to be similar to 2013.