Waste firm Biffa blames headwinds for profit drop
Waste management firm Biffa today announced a profit dip in the first half with its boss blaming “external headwinds”.
Biffa's share price fell 4.8 per cent to 217p following the news.
In its results for the six months to 28 September, Biffa said underlying operating profit was £40.8m, down from £43.4m in the same period last year.
Statutory operating profit was £34.8m, down from £40.5m, while underlying earnings before interest, tax, depreciation and amortisation was down to £75.6m, from £76.3m last year.
Chief executive Michael Topham said: “Biffa has delivered a solid first half set of results, despite a number of expected external headwinds and our expectations for the full year remain unchanged.”
Biffa said its financial expectations for the full-year remain unchanaged.
Revenue was up 4.2 per cent to £501.8m, from £481.6m the previous year.
Net debt increased to £302.8m, from £272.2m at the same period last year.
Biffa completed four acquisitions during the period with £20m invested.
Topham said: “The key themes in the UK waste management industry remain collection market consolidation and development of infrastructure in recycling and energy from waste. Biffa remains well placed to capitalise on these and we look forward with confidence.”