views

ANALYST VIEWS: WHAT DOES THE TRADING UPDATE MEAN FOR AGGREKO?

Marion Dakers
PAUL JONES | PANMURE GORDON
“It’s difficult to give enough superlatives about how well Aggreko is performing. They have a business that performs extremely well to satisfy both short and long term power demands. There is a lack of investment in power infrastructure in some of their markets and wind and hydroelectric power are unpredictable, so Aggreko’s products will always be in demand.”

GEOFF ALLUM | ARDEN PARTNERS
“It is particularly encouraging to see that Aggreko’s push into the Asian and central & south American regions has paid off handsomely. A number of projects are coming to an end in Kenya and Yemen, and clearly the kit needed to power the World Cup will also not be needed next year. We have therefore put in only modest growth for next year. Firm ‘hold’.”

MIKE MURPHY | NUMIS SECURITIES
“We predicted last week that the warm weather in the US would benefit the business, but we were still surprised at the amount by which they upgraded. The increased capital expenditure shows that it has confidence that there is a future in its international projects and services. It’s the third time it has upgraded their capital expenditure guidance this year, which is very positive.”