Rentokil just hits growth target
Thursday 21 August 1997
Speaking at the group's half-year results, Sir Clive Thompson, chief executive of Rentokil, admitted that without BET, the businesses services giant bought for pounds 2.1bn last year, the company would have struggled to reach its growth target.
"Nothing grows at 20 per cent forever. If the company had remained as it was, it would have slowed. But that's not earth-shattering. Every business needs to change to grow," he said.
Earnings per share rose 20.3 per cent to 89p in the six months to June, the first set of figures to include a full contribution from BET.
Sir Clive said that the group was poised to sell peripheral BET and Rentokil businesses, including timber preserving and industrial production. However, he dismissed criticisms that keeping BET's plant hire businesses exposed the company to cyclical markets: "Our view is that if we can add value to these businesses, run them better and generate cash, we will keep them."
Analysts said Sir Clive's earnings target had become a noose around the companies' neck, and predicted earnings growth would slow to around 16 per cent over the next few years.
Andrew Ripper at Merrill Lynch said the City was frustrated at the lack of transparency in the group's figures, which included a full six-months' contribution from BET, against two months last time.
"It is very difficult to make sense of the divisional split," he added.
Investment column, page 18
food + drinkMichelin-starred Tom Sellers on being this year's hottest property
tvParents (and kids) rejoice! A new wave of fantastic family entertainment is here
booksGeese, gorillas, grandads... and growing up
food + drinkHow one grocery e-tailer is gearing up for the Yuletide rush
food + drink
travelFor broadcaster Mishal Husain, a long-haul Club Med holiday was a chance for her family to explore its sense of 'zen' and 'animation'
Nelson Mandela: 11 inspirational quotes to live your life by
Queen to miss Nelson Mandela funeral over security and long-haul flight concerns
MPs face public anger after watchdog approves 'inappropriate' 11% pay rise
The 'terrorist' and the Tories: What did Nelson Mandela really think of Margaret Thatcher?
Japan cracks down on leaks after scandal of Fukushima nuclear power plant
- 1 Hundreds arrested as Canadian police smash worldwide paedophile ring
- 2 Sherlock series 3: Benedict Cumberbatch and Martin Freeman provide teasers for the biggest comeback in British television
- 3 Why Barcelona chose Everton to educate their latest prodigy
- 4 Mass murder in the Middle East is funded by our friends the Saudis
- 5 Japan cracks down on leaks after scandal of Fukushima nuclear power plant
- < Previous
- Next >
iJobs Money & Business
£25000 - £50000 per annum + Benefits + Bonus: Harrington Starr: C++ Server Dev...
£300 - £350 per day: Harrington Starr: Leading Electronic Trading Software Ven...
£80000 - £100000 per annum + benefits + bonus: Harrington Starr: Project Manag...
£50000 - £60000 per annum + benefits + bonus: Harrington Starr: Business Analy...