Aggreko’s underlying revenues grew 5 percent in the first quarter, the company said in an interim management statement. Underlying revenue excludes pass-through fuel and the impact of currency movements. Reported revenues, however, were impacted by adverse currency movements and decreased 4 percent.
Aggreko’s Americas region posted an 11-percent revenue boost on an underlying basis in the first quarter, while the company’s Europe, Middle East and Africa region jumped 15 percent on the same basis. However, trading remains difficult in Asia Pacific, where revenues plunged 21 percent.
Aggreko’s Local business continued to trade briskly in the first quarter with underlying revenues of 11 percent. The Americas region grew 12 percent, with EMEA jumping 19 percent. APAC’s revenues dropped 10 percent, driven by challenging market conditions in Australia, with a slowdown in the mining sector. Overall Local business margins were relatively flat compared to last year’s first quarter on both a reported and an underlying basis.
Power Projects revenues dropped 3 percent in the first quarter on an underlying basis, driven by off-hires in Indonesia, Military and Japan, partially offset by on-hires in Mozambique and Ivory Coast.
Aggreko expects capital expenditures in 2014 to be at similar levels as last year, with about £130 million in the first half (about U.S. $217 million) and approximately £215 million (about U.S. $360 million) for the year as a whole, subject to market conditions.
Headquartered in Scotland with North American headquarters in Houston, Aggreko is No. 5 on the RER 100.