The SSP Board has declared an interim dividend of 1.2 pence per share (H1 2023: nil), with a view to maintaining the pay-out ratio for the full year at between 30% and 40% of underlying pre-IFRS 16 earnings per share, and with the interim dividend representing approximately one third of the expected full year dividend, based on their Planning Assumptions. The dividend will be paid on 28 June 2024 to shareholders registered on 31 May 2024. The ex-dividend date will be 30 May 2024.
Other financial highlights include:
First half revenue of £1.5bn, up 19% on a constant currency basis, with double-digit growth across all regions
H1 revenue growth comprises: like-for-like sales growth of 12%, including a very strong performance in APAC and EEME reflecting strengthening passenger numbers; net gains of 4% from the mobilisation of our new contract pipeline; and a contribution of 3% from acquisitions in North America
EBITDA of £106m, up from £91m last year, leaving us on track to deliver Group "Planning Assumptions", as set out in December 2023
Strong contributions to profitability delivered by the North America and APAC & EEME regions, reflecting the faster growth in these markets and strong profit conversion
Good underlying EBITDA growth in the UK, benefitting from a further recovery in passenger numbers and despite some ongoing impact from industrial action in the rail sector
Profitability in Continental Europe held back by a heightened level of renewals, particularly in the Nordics countries, and greater levels of industrial action that impacted the rail sector in France and Germany
Underlying pre-IFRS 16 loss per share of 1.0p compared with 0.8p per share in the prior year
Reported loss per share of 1.3p per share, in line with the prior year
Free cash usage of £240m after investment of £144m in capital projects (compared with £94m in the prior year), acquisitions of £59m and a working capital usage of £66m, reflecting the normal seasonal profile as well as the unwind of the remaining payment deferrals from the Covid-19 period
Net Debt of £619m, at the end of March 2024, and leverage (Net Debt: EBITDA) of 2.1x. Under IFRS 16, Net Debt increased from £1,421m at 30 September 2023 to £1,633m at 31 March 2024
