Intertek H1 profits, revenue rise ahead of EQT takeover

(Sharecast News) - Intertek posted a rise in first-half profit and revenue on Friday ahead of its planned �9.4bn takeover by Swedish private equity firm EQT.

First-half adjusted pre-tax profit increased 7.7% from the same period a year earlier to �275.7m, with revenue up 5.9% at $1.8bn. Adjusted operating profit was 12.1% higher at �309.7m.

Adjusted diluted earnings per share rose 12% to 124.9p and free cash flow was �138.5m, up from �56m a year earlier.

Intertek reiterated its full-year outlook for mid-single digit like-for-like growth, continuous margin progression, and "strong" earnings and free cash flow growth. The testing, inspection and certification group also said it was on track to deliver its medium-term targets of mid-single digit LFL revenue growth, 18.5%+ margin, strong cash and strong return on invested capital.

Chief executive Andre Lacroix said: "Our high-quality earnings model continues to demonstrate the company's ability to improve its performance across all our key financial metrics on a sustainable and consistent basis, with H1 26 the 11th consecutive six-month period of mid-single digit LFL revenue growth and the seventh consecutive six-month period of double-digit adjusted diluted EPS growth, whilst delivering strong and consistent returns on capital."

Intertek said it expects the deal with EQT to complete in the fourth quarter of this year or the first quarter of 2027.

At 1405 BST, the shares were up 0.2% at 5,845p.

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