Solid waste remains “challenging” for Shanks as business trades in line with expectations

0
37

Shanks has traded in line with its board’s expectations across all its four divisions in the first quarter, according to an interim management statement.

However, the company has noted that conditions in its sold waste business “remain challenging”.

Advertisement

As a result, the board of Shanks expects that the company will deliver a trading result in line with its expectations for the financial year ended 31 March 2014.

Shanks Group chief executive Peter Dilnot said: “I am pleased to report that the group has started the year steadily, with all our divisions in line with our expectations, despite market conditions in solid waste remaining challenging.

“We have committed to deliver on our cost reduction programme and to manage actively the group’s portfolio to focus on areas where we have strategic advantage.

“We have also secured important long-term funding through our recent highly successful retail bond offering. The board remains confident that the group will deliver a trading result in line with its expectations for the year ended 31 March 2014.”

Shanks recently completed a €100 million (£86 million) 6-year bond from the Belgian retail bond market with a coupon of 4.23 per cent.

Among Shanks’ highlights for the first quarter, it noted it had broken ground on the Wakefield PFI project, commenced operations at Westcott Park anaerobic digestion plant, and was selected as one of the two final bidders for the long term municipal contract to treat Cardiff and Vale of Glamorgan’s organic waste.