Interim Management Statement
19 Nov 2012
Intertek Group plc ("Intertek"), a leading provider of quality and safety services to a wide range of industries around the world, today releases its Interim Management Statement for the period from 1 July to 18 November 2012. Where stated, financial results are for the period from 1 January to 31 October 2012 ("period"). All comparative comments in this statement reflect comparisons with the corresponding period during 2011. The Group's full year results to 31 December 2012 will be announced on 4 March 2013.
Total reported revenue growth for the period was 20.1%. Organic revenue growth for the period was 9.1% at constant exchange rates (excluding acquisitions made in 2011 and 2012).
Each division reported strong organic revenue growth from July to October. The fast growth in the Industry & Assurance and Commodities divisions in the first half of the year, moderated as expected, to high single digits. Growth in the Consumer Goods and Commercial & Electrical divisions continued at high single digits and the Chemicals & Pharma division saw growth improve. The strongest growth has come predominantly from the Americas, Asia and the Middle East, with Europe growing below the Group average. With global economic conditions remaining uncertain, the Group will ensure operations are aligned with customer demand.
Since the half year results there have been two notable corporate developments: the acquisition of a non-destructive testing company (NDT Services Ltd) in the UK for £17m; and the formation of a long term partnership with the Quality and Conformity Council of Abu Dhabi (QCC). The acquisition enhances Intertek's existing services to the energy, petrochemical, power and aerospace industries in a strongly growing market. The partnership with QCC, which will initially provide advisory services for the quality programmes in Abu Dhabi across a number of industries, validates Intertek's strength and position as a leading provider of outsourced global quality solutions.
For the full year, the Group's adjusted operating profit margin is expected to be stable on the prior year.
There has been no significant change to the Group's financial position in the period since the last reported balance sheet date of 30 June 2012.
Wolfhart Hauser, Chief Executive Officer, said:
"Intertek has consistently produced strong organic revenue growth and we have continued this performance so far in 2012 with growth of 9.1%. We see good structural growth across many of our industries and geographies while, as expected due to the unstable global economic conditions, growth in other markets has moderated from the very strong levels seen in the first half.
"The compelling long term structural drivers for quality and safety services across a broad range of industries and geographies and our focus on supporting our customers will help our business to grow organic revenue at high single digits through the economic cycle."
Contacts
Aston Swift, Intertek
Telephone: +44 (0) 20 7396 3400
aston.swift@intertek.com
Richard Mountain, FTI Consulting
Telephone: +44 (0) 20 7269 7186
richard.mountain@fticonsulting.com
ABOUT INTERTEK
Intertek is a leading provider of quality and safety solutions serving a wide range of industries around the world. From auditing and inspection, to testing, quality assurance and certification, Intertek people are dedicated to adding value to customers' products and processes, supporting their success in the global marketplace. Intertek has the expertise, resources and global reach to support its customers through its network of more than 1,000 laboratories and offices and 33,000 people in over 100 countries around the world. Intertek Group plc (LSE: ITRK) is listed on the London Stock Exchange and is a constituent of the FTSE 100 index.
This Interim Management Statement is prepared for and addressed only to the Company's shareholders as a whole and to no other person. The Company, its directors, employees, agents or advisers do not accept or assume responsibility to any other person to whom this Interim Management Statement is shown or into whose hands it may come and any such responsibility or liability is expressly disclaimed. Statements contained in this Interim Management Statement are based on the knowledge and information available to the Company's Directors at the date it was prepared and therefore the facts stated and views expressed may change after that date. By their nature, the statements concerning the risks and uncertainties facing the Company in this Interim Management Statement involve uncertainty since future events and circumstances can cause results and developments to differ materially from those anticipated. To the extent that this Interim Management Statement contains any statement dealing with any time after the date of its preparation such statement is merely predictive and speculative as it relates to events and circumstances which are yet to occur. The Company undertakes no obligation to update these forward-looking statements.