Business
3rd Quarter Results
3rd Quarter Results.
About this update from Rentokil Initial Plc
[{"type":"text","content":"\n RNS Number : 6726H Rentokil Initial PLC 07 November 2008 \n\n7 November 2008\n\nRENTOKIL INITIAL PLC (RTO)\nTRADING UPDATE FOR THIRD QUARTER ENDED 30 SEPTEMBER 2008\n\n\nQ3 headline financials\n\n\n\nRevenue maintained at £562.4 million, up 3.2% year to date at constant exchange rates (CER)\n\n\n\nAdjusted operating profit £32.3 million at CER (after increasing bad debt provision in UK Washrooms by £6 million in order to deal with legacy service issues) \n\n\n\nAdjusted profit before tax £16.6 million at CER, £23.1 million at actual exchange rates (AER)\n\n\n\nOperating profit of £26.5million at AER \n\n\nOperational developments \n\n\nStable Q3 performance despite worsening economic backdrop \n\n\n\n\n\nRevenue growth: Pest Control & Asia Pacific\n\n\n\nRevenues in line with prior year: Textiles & Washrooms, Facilities Services, Ambius \n\n\n\nAlthough still loss making, City Link making excellent progress in customer service and all aspects of seven-point recovery plan\n\n\n\n\n\nSignificant customer service improvement in turnaround businesses:\n\n\n\n\n\nCity Link: 98.7% (Q2: 98%)\n\n\n\nUK Washrooms: 95% (Q2: 85%)\n\n\n\nAustralia Pest Control: 93% (Q2: 89%)\n\n\n\nAustralia Washrooms: 93% (Q2: 59%)\n\n\n\n\n\n2008 outlook unchanged \n \n\n\nAlan Brown, Chief Executive Officer of Rentokil Initial plc, said: \n\n'I am pleased to report further strong improvement in customer service across the group, with every division performing close to or above target. We are now focusing strongly on cash, and on accounts receivable in particular, where we have made some progress. We have also extended the maturity of our financing facilities by raising £125 million of new five-year money during Q3 and we have sufficient funding in place to support our plans. \n\n'The deteriorating economic backdrop makes it particularly difficult to predict future trading conditions. Nevertheless, our guidance for 2008 remains unchanged and our operational agenda for 2009 is no...