LONDON (Alliance News) - Waste management business Augean PLC Tuesday said it continues to trade in line with management expectations for the full-year, as it reported an increase in profit and revenue for the first-half following the closure of its underperforming Waste Network division.
The group posted pretax profit of GBP2.2 million for the six months ended June 30, up from GBP1.0 million a year earlier, as revenue rose 7% to GBP24.9 million from GBP23.4 million.
Augean said the closure of its waste network division and the subsequent reduction in operating losses and group overhead costs, was delivered alongside increases in operating profits from the Energy & Construction and Radioactive Waste Services divisions.
The company's five reportable divisions are: Energy & Construction, Integrated Services, North Sea Services, Radioactive Waste Services and Industry and Infrastructure.
Augean said its Energy & Construction division continued to grow the volumes of air pollution control residues from Energy from Waste customers, treated at the East Northants Resource Management Facility and Port Clarence sites, and the treatment and disposal of hazardous waste volumes during the first six months.
Revenue for the arm dipped to GBP10.0 million from GBP11.2 million. In 2013, reported revenues included the benefit of volumes now transferred to the Radioactive Waste Services divisions, but on a comparable basis revenues rose by GBP300,000 from the prior period.
On the other hand, the company's other and significantly smaller divisions by revenue made gains. This including the oil and gas arm which saw revenue rise to GBP5.9 million from GBP4.6 million a year earlier.
"The group is trading in line with management expectations for the full year," Chief Executive Stewart Davies said in a statement. "We continue to prioritise potential growth opportunities and look forward to providing shareholders with an update in due course."
Augean shares were quoted up 2.1% at 49.75 pence Tuesday morning.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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