First Half Revenue, Profits Will Be Strong, Aggreko Says

International rental supplier of temporary power, temperature control and oil-free compressed air services Aggreko last week said first-half revenue would be about 25 percent increased from 2007, with profits about 40 percent higher.

Aggreko’s growth has been broad-based, the company said, with business in the Middle East, Asia, Australia and Latin America all making good progress, with European business making significant progress year over year. The company expects profits in the United States to drop, although revenues will be slightly higher. In international power projects, continued investment has enabled Aggreko to grow its rental fleet by about 40 percent year over year, with utilization running at high levels and profits increased.

Aggreko won its first major project in South Africa, providing 40 megawatts of temporary power. In Europe, a contract to supply power to the current European soccer championships has been a solid revenue-producer, and the company will provide 140 megawatts of power for the Beijing Olympics. High summer temperatures in the United States will be a strong boost as well, the company said.

“If we achieve our historical average level of storm revenues, we would expect trading profits in North America to be at similar levels to last year,” the company said in a statement. Overall, Aggreko’s board expects profits for the full year to top current market expectations.

Based in Glasgow, with U.S. headquarters in Houston, Aggreko is No. 13 on the RER 100.

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