Reflecting the Group's strong cash generation in 2022, the Board recommends a full year dividend of 105.8p per share, in-line with prior year.
The full year dividend of 105.8p equates to a total cost of £170.6m or 50% of adjusted profit attributable to shareholders of the Group for 2022 (2021: £170.6m and 55%). The dividend is covered 2.0 times by earnings (2021: 1.8 times), based on adjusted diluted earnings per share divided by dividend per share
Other Financial Highlights:
• Revenue of £3,193m; +8.2% at constant rates; +14.6% at actual rates
• LFL revenue growth of 4.9% at constant rates: Products +3.9%; Trade +5.6%; Resources +7.9%
• Outside China LFL revenue grew 6.5% at constant rates: Products 5.5%, Trade 7%, Resources 8.5%
• Recent acquisitions JLA, SAI and CEA performing well, contributing £153.0m of margin accretive revenue in 2022
• Adjusted operating profit of £520m, up 3.8% at constant rates and up 9.7% at actual rates
• Robust adjusted operating margin of 16.3%, 70bps lower at constant and actual rates; H2 margin of 17.8%
• Adjusted diluted EPS of 211.1p: up 4.6% at constant rates and up 10.6% at actual rates
• Adjusted free cash flow of £386m and a strong balance sheet with 1.1x net debt to EBITDA
• ROIC of 18.0%, up year-on-year by 20bps at constant rates and down 20bps at actual rates
• Cost reduction programme (£27m in SDIs) to streamline operations and deliver annual savings of £15m
• 2023 outlook: Mid-single digit LFL revenue growth, margin progression and strong free cash flow
