DCC Annual Profit Rises 12% as Cold Weather Fuels Energy Demand

DCC Plc (DCC), an Irish distributor of goods from heating oil to computer games, said annual profit rose 12 percent as cold winter weather boosted demand at its energy unit.

Net income rose to 130.8 million euros ($162 million) in the year through March, from 116.3 million euros in the prior-year period, the Dublin-based company said in a Regulatory News Service statement today. Sales rose 5 percent to 6.72 billion euros.

Operating profit at the energy unit rose 12 percent as the U.K. earlier this winter endured its longest cold snap since 1981. The company now makes more than two-thirds of its operating profit in the U.K. after purchasing stakes in British companies.

Overall operating profit may rise between 5 percent and 10 percent in the year to March 2011, DCC said in the statement, depending on currency swings. Profit by that measure increased 6.9 percent to 192.8 million euros last year. It rose 13 percent on a constant currency basis, DCC said.

DCC rose as much as 4.5 percent to 19.42 euros in Dublin and traded at that level as of 8:05 a.m.

To contact the reporters on this story: Dara Doyle in Dublin at ddoyle1@bloomberg.net Louisa Fahy at lnesbitt@bloomberg.net

To contact the editor responsible for this story: Colin Keatinge at ckeatinge@bloomberg.net.

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