Aggreko announced a final dividend as the power generator supplier said its markets were recovering after reporting an annual loss.
Pretax loss for the year to the end of December was £73m compared with a £199m profit a year earlier as revenue fell 15% to £1.37bn. Underlying pretax profit before exceptional items fell to £102m from £109n.
Aggreko proposed a final dividend of 10p a share taking the annual payout to 15p compared with 9.38p in 2019 when it paid an interim dividend only. The company said it had positive momentum so far in 2021 and its finances were strong.
The FTSE 250 group generated £521m of cash flow during the year, down from £628m in 2019, as earnings fell. Net debt at the end of December fell by £204m to £380m.
Aggreko provides power generators for events ranging from the Glastonbury pop festival to the Olympic Games. Its business was hit by the postponement of the Tokyo Olympics and other sports fixtures, music festivals and further events during Covid-19 lockdowns worldwide.
Chief Executive Chris Weston said: “We maintained our financial strength, delivering a strong cash performance in 2020. We enter 2021 well positioned for the recovery which we are seeing in our markets and this momentum supports our confidence in the business going forward. Reflecting the board’s confidence in the outlook for the business and our financial strength, we are proposing a final dividend for the year of 10 pence per share.”
