Aggreko Q3 figures in line

The bumper year of 2012 was always going to be hard to replicate, but Aggreko’s management believes the upturn in the global economy, and more specifically in the UK, is encouraging when assessing future revenues.

On top of the void left by the Olympics, there has been an aggressive downturn in Aggreko's revenue streams from Australia as the commodities market has taken a hit. With cooling growth in China, the main driving force behind Australian mining industry, revenues have dropped in the Asian-Pacific region by 17% year-on-year. It is still too early to tell if last year’s weaker Chinese growth is a momentary blip or the onset of a longer trend.

On a more positive note, revenues have improved in both the Americas and Africa, with the regions seeing an increase of 6% and 8% respectively. Aggreko has also managed to make a sizable dent in the company’s debt. In the last quarter debt was reduced by £83 million to £469 million, compared with the 2012 figure of £685 million.

By mid-morning the share price had climbed almost 3%, up to around 1560p, but still some way off the year high of 2027p in March.

Aggreko plc (DFB) Chart

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