Aggreko profits surge

POWER provider Aggreko said it expected its full-year pre-tax profit to rise 25 per cent after a strong fourth quarter, although its 2011 outlook was tempered by the lack of sporting events like the Olympics and World Cup.

The company, whose generators powered the soccer World Cup in South Africa in the summer, said it expected to report pre-tax profits of 305m on revenue of 1.22bn, up 20 per cent, for 2010.

It said about 90m of revenue from major events such as the Winter Olympics and Asian Games would not be repeated in 2011, but it nonetheless expected trading profit next year to be at a similar level to 2010.

It also said it would accelerate investment in its fleet, increasing the number of generators powered by gas rather than diesel, with capital spending for the year expected to be 23 per cent higher than in 2010.