DCC Plc (DCC), an Irish distributor of goods from computer games to fuel, said operating profit may rise about 10 percent in the current fiscal year after the company traded “modestly” ahead of forecasts in the first quarter.
Adjusted earnings per share are expected to show a “mid to high” single-digit increase in the year to March 31, 2011, the Dublin-based company said today in a Regulatory News Service statement.
DCC makes more than two-thirds of its operating profit in the U.K. after purchasing stakes in British companies. Excluding currency changes, DCC expects operating profit to rise by about 5 percent during the year. DCC bought two oil importation and storage terminals in Scotland for 19 million euros ($25 million) in June, the company said in the statement.
The statement “signals a good start to the year, although we caution that the first three months of the year are a quiet trading period for the group,” analyst Caren Crowley at Davy Stockbrokers in Dublin said in a research note.
DCC rose as much as 33 cents, or 1.8 percent, to 18.70 euros in Dublin and traded at that level at 8:49 a.m. local time, giving the company a market value of 1.5 billion euros.
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