DCC profits up 8.5%
Business support services company DCC has said before-tax profits were up 8.5% to €126m in the year to the end of March 2004.
Sales rose by 24.3% to €2.7bn, while operating profit was up 8.8% to €131.5m. Dividend per share will be 37.26c.
DCC boss Jim Flavin, said: "Energy, healthcare, food and beverage, environmental and other activities all achieved excellent profit growth. Profits in IT distribution declined due to the very challenging market conditions which have prevailed in the IT distribution sector since late 2004.
"Having completed several acquisitions during the year, DCC is focused on leveraging its business platforms, management capacity and financial strength to deliver continued organic and acquisition growth, strong cash generation and excellent returns on capital."
Fruit importer Fyffes is bringing an insider dealing case against DCC in relation to the sale by DCC in February 2000 of 10% of Fyffes for €108m. The shares later collapsed from €4 to €1 over a period of months. DCC insisted today that none of its executives were in possession of price-sensitive information.
In its accounts, DCC has made no provision for a payout on foot of the case and has only set aside money to cover the company's legal expenses.
The hearing is expected to conclude before the end of July this year but it is likely to be a number of months before a judgement is delivered.
