DCC well-placed for acquisitions - Flavin

DCC executive chairman Jim Flavin comments on the company's acquisition strategy and its planned strategic review of its operations…

DCC executive chairman Jim Flavin comments on the company's acquisition strategy and its planned strategic review of its operations.

Mr Flavin spoke on a conference call today after DCC reported fiscal full-year profit growth of 17 per cent, boosted by the expansion of its oil business and the sale of a homebuilding unit.

On the planned strategic review: "We're not saying there's anything wrong with our strategy. We're looking at the long term.

"Some of the business units are bigger and strong than they used to be. Everything is on the canvas in terms of trying to think through how we can get the best value for shareholders.

"It's in shareholders' interest we do this in a very deliberate and careful way."

On acquisitions: "The balance sheet is very strong. We are well-positioned for acquisitions. "We are seeing some evidence of a bit more sense returning to the market. "There is better value emerging. We're well-positioned and we will benefit from that."

On dividends: "I don't think anybody should speculate on dividends. We have a policy of seeking to reward shareholders with a progressive dividend policy. It's a long way between now and this time next year.

"Our objective is to keep the dividend going forward."

Chief Financial Officer Fergal O'Dwyer comments on hedging: "We've no current plans to get involved in hedging our UK profits. That's really on the basis that we've no plans to repatriate those funds. The funds we generate in the UK are being reinvested to improve our market position in that market."


Bloomberg