Intertek Group PLC

ITRK

Equity

ISIN GB0031638363 / Valor 1428658

LSE London Stock Exchange, SETS (2024-09-16)

GBP 50.35-0.20%

Intertek Group PLC
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About company

Intertek Group PLC is a multinational company that provides testing, inspection, and certification services across various industries. The company has a long history dating back to the late 19th century when three pioneering businesses in the UK, Canada, and North America merged to form the foundation of Intertek. Over the years, Intertek has expanded its services to include electrical and electronic product safety testing, steel product inspection, and a wide range of other testing and inspection services. With over 40,000 employees and a presence in multiple countries, Intertek is a leading player in the testing industry, listed on the London Stock Exchange and included in the FTSE 100 index.

Summarized from source with an LLMView SourceSector: Consumer Cyclicals

Revenue Growth

Intertek Group PLC reported a revenue of £1,669.5 million for the first half of 2024, reflecting a 6.6% increase at constant currency and a 1.8% increase at actual rates. This growth was driven by broad-based like-for-like (LFL) revenue growth of 6.1%, with notable contributions from Consumer Products, Corporate Assurance, Health and Safety, Industry and Infrastructure, and World of Energy segments.

Operating Profit

For the first half of 2024, Intertek Group PLC achieved an adjusted operating profit of £265.1 million, marking a 14.2% increase at constant currency and an 8.0% increase at actual rates. The company also saw a strong margin progression of 110 basis points, driven by a mix of pricing initiatives, operating leverage, cost control, and productivity improvements.

Earnings Per Share

Intertek Group PLC reported a double-digit growth in adjusted earnings per share (EPS) for the first half of 2024, with a 17.5% increase at constant currency and a 10.2% increase at actual rates. This significant growth in EPS underscores the company's strong financial performance and effective cost management strategies.

Free Cash Flow

Intertek Group PLC demonstrated excellent cash performance in the first half of 2024, with a cash conversion rate of 118% and a 14% growth in free cash flow. This robust cash flow performance has further strengthened the company's balance sheet, reducing net debt to £708 million and improving the net debt/EBITDA ratio to 1.0x.

Interim Dividend

Intertek Group PLC declared an interim dividend of 53.9p per share for the first half of 2024, representing a 43.0% increase year-on-year. This increase is in line with the company's new dividend policy of a 65% payout ratio, reflecting its strong financial position and commitment to returning value to shareholders.

Summarized from source with an LLMView Source

Key figures

18.9%1Y

-6.76%3Y

-6.10%5Y

Performance

18.4%1Y

22.0%3Y

25.8%5Y

Volatility