(Sharecast News) - Pest control and hygiene services company Rentokil Initial posted a rise in interim profit and revenue on Thursday, with broad-based growth across its categories.
Adjusted pre-tax profit was up 14.7% at £225.4m on revenue of £1.6bn, up 5.6% on the same period a year earlier.
Rentokil's pest control division saw revenues grow 12.1% to £1.05bn, driven by "strong price progression" and with good work volumes. Meanwhile, in Hygiene & Wellbeing, revenue excluding disinfection rose by 10.8% to £377.7m in the first half, underpinned by strong demand for critical services.
Revenue including disinfection was down 10.3% at £391.3m.
Chief executive Andy Ransom said: "The nature of our business model remains a key determinant of the strength and resilience of our performance. As a global operation that benefits from highly defensive product and service lines, the company is well placed to navigate macro-economic and geopolitical volatility.
"In the first half, the top line has sustained strong momentum. We've been successful in proactively managing cost inflation through pricing to protect margin, while continuing to drive margin improvements through delivery on our strategy. In addition to delivering increased scale and density in North America and leadership in the global pest control market, the Terminix acquisition provides a significant opportunity to achieve additional structural cost savings across the combined organisation."
Rentokil Initial (RTO)
