StockMarketWire.com - Homeserve upped its dividend and reported flat profit as higher costs including the writedown of its LeakBot asset offset a rise in revenue.

Pre-tax profit fell to £137.9m from £139.5m on-year, while revenue rose 13% to £1.13bn.

The performance was hurt by a net exceptional charge of £7.6m, compared with a net exceptional gain of £4.6m last year.

The UK segment recorded an exceptional charge of £15.0m in relation to an impairment of LeakBot reflecting slower uptake of the device from consumers and insurance partners, the company said.

The company proposes a final dividend of 17.8p, up from 16.2p on-year, to take the total dividend for the year to 23.6p, up 10% and in line with earnings growth. 'Our current working assumption is that the world will gradually come out of lockdown over the summer months of 2020,' the company said. In this scenario, we will continue to work towards our stated medium to long term targets for growth in North American Membership & HVAC, and Checkatrade, with breakeven at Checkatrade likely to be delayed from FY22 until FY23.'

'Adjusted operating profit at eLocal in FY21 is now expected to be in excess of $10m,' it added.


At 8:54am: [LON:HSV] Homeserve PLC share price was +42.5p at 1207.5p



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