DCC PLC
03 April 2006
DCC's Profit Contribution from Manor Park Homebuilders
DCC's profit contribution from its 49% owned associate company, Manor Park
Homebuilders Limited ('Manor Park'), is expected to be materially better than
market expectation in the year to 31 March 2006 and may be materially less in
the year to 31 March 2007. This changed expectation is due to Manor Park earning
a significant profit on a transaction that it completed on Friday last, 31 March
2006, which DCC expected would more likely arise in the year to 31 March 2007.
Also, planning issues have delayed the commencement of certain planned housing
developments by Manor Park which will defer some profits to its next financial
year.
DCC expects to report Group operating profit, before contribution from
associates, for the year to 31 March 2006 in line with market expectation.
Arising from the higher expected profit contribution to DCC from its associate
company, Manor Park, in the year to 31 March 2006, DCC expects to report early
double digit growth in its adjusted earnings per share for the year to 31 March
2006, which is ahead of market expectation. Based on DCC's current estimate of
the profit contribution to DCC from Manor Park in the year to 31 March 2007,
DCC's adjusted earnings per share for the year to 31 March 2007 may be
approximately 5% below market expectation.
DCC Chief Executive/Deputy Chairman, Jim Flavin, said:
'The value of DCC's investment in Manor Park has significantly
increased over the past year. Manor Park has a large landbank
for housing development and other projects in the pipeline from
which it should earn substantial profits in the future.'
For reference:
Jim Flavin, Chief Executive/Deputy Chairman
Fergal O'Dwyer, Chief Financial Officer
Conor Murphy, Investor Relations Manager
Tel: +353 1 2799400
Email: investorrelations@dcc.ie
Web: www.dcc.ie
This information is provided by RNS
The company news service from the London Stock Exchange
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