Augean to pay first dividend as performance improves
AUGEAN today said it will pay shareholders a maiden dividend after bucking challenging markets and delivering a “robust” set of results.
The Wetherby-based hazardous waste management business saw pre-tax profits double to £2.8m from £1.4m last time while revenue including landfill tax increased 13% to £42.4m in the year to December 31.
The group is planning to pay a maiden dividend of 0.25p a share.
Augean will welcome new chief executive Stewart Davies, managing director of Royal Mail subsidiary Romec, in August to replace Paul Blackler who is leaving at the end of this month.
The group will be run by interim chief executive Richard Allen until Mr Davies arrives. Mr Allen is group finance director.
Chairman Jim Meredith said: “The successful delivery of our strategic initiatives has led to robust results showing growth in revenue, earnings and profit. While the overall conditions in our core markets have remained challenging, the group has made excellent progress in establishing new revenue streams that offer significant growth potential.
“The proposed payment of a maiden dividend demonstrates the board’s confidence in the group’s strategic direction and intention to enhance returns for shareholders. Our new businesses and divisional reorganisation have created a stronger and more diversified business closely aligned with our customer requirements and this investment is expected to deliver continued growth to revenues, earnings per share and cash flow in this year and beyond.”
Augean had earnings per share last year of 1.97p, up from 1.59p while free cash flow rose to £600,000 after £3.6m of capital expenditure and net debt increased to £6.1m following a number of acquisitions.
