Aggreko’s business grew 9 percent in the first quarter according to its interim management statement released this week.
Aggreko’s International Power Projects division grew revenues 19 percent in constant currency, excluding pass-through fuel. Order intake in the first quarter of 280 MW was strong, with notable orders signed in the Bahamas, Argentina, Oman and Indonesia as well as a letter of intent with Tokyo Electric Power Co. for the supply of 200 MW of emergency power for a minimum period of a year. The letter of intent has now been converted into a signed contract with an estimated value of about $100 million.
Average megawatts on rent in the quarter were 18-percent higher than the same period of 1010.
Aggreko’s Local business division posted revenues similar to Q110, but grew 18 percent in constant currency and excluding major events such as Vancouver Winter Olympics, FIFA World Cup and the Asian Games. Revenues in North America in the first quarter increased 33 percent on an underlying basis, maintaining the strong momentum of the latter part of 2010. Revenues in Europe and the Middle East grew 4 percent.
Aggreko’s chairman announced that he intends to retire from the board of Aggreko in 12 months, at which point he will have served on the board for 15 years, 10 years as chairman. He will be succeeded by Ken Hanna, who joined the board in 2010.
Because of a positive business outlook, Aggreko plans to increase the rate of its fleet capital expenditure in the second half of the year by about £70 million (about U.S. $116 million), and to spend about £390 million across the group as a whole during 2011.
Based in Scotland, with U.S. headquarters in Houston, Aggreko is No. 9 on the RER 100.
