Luceco Raises Outlook as EV Charging Revenue Jumps
Luceco Raises Outlook as EV Charging Revenue Jumps
Anonymous
Key Points
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Adjusted profit before tax increased 19.4% to £12.9 million, while adjusted profit after tax rose 11.2% to £9.9 million in the first half.
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Adjusted basic earnings per share rose to 6.7 pence from 5.9 pence a year earlier, indicating stronger underlying per-share earnings.
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Luceco said its adjusted operating margin continued to improve despite input-cost pressure, attributing the progress to operational discipline and ongoing product innovation.
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Chief executive Dr Thorsten Müller said Luceco was benefiting from a “robust operating model and a scalable growth platform” in energy-transition products.
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Basic and diluted earnings per share from continuing operations were both reported at £0.046, compared with £0.044 and £0.043, respectively, a year earlier.
Luceco reported first-half revenue of £142.6 million, up 13.4%, driven by a surge in EV charging products that nearly doubled Energy Transition revenue Investing.com. Adjusted operating profit rose 14.5% to £15.8 million, and the company raised its outlook for full-year earnings. Yet shares fell 5% as investors worried about regulatory headwinds cutting revenue per charger TipRanks.
EV Charger Boom Lifts Energy Transition Revenue
Energy Transition revenue, powered mostly by electric-vehicle chargers, jumped about 120% in the first half Investing.com. Luceco now has more than 30,000 chargers enrolled in a recurring demand-flexibility program that generates ongoing revenue. Chief executive Dr Thorsten Müller praised the company's "scalable growth platform" in energy products Investing.com.
Profit Growth Outpaces Revenue Gains
Adjusted profit before tax jumped 19.4% to £12.9 million, while adjusted profit after tax rose 11.2% to £9.9 million Investing.com. Adjusted earnings per share climbed to 6.7 pence from 5.9 pence a year earlier. The company improved its operating margin despite cost pressures, pointing to stronger operational discipline and product innovation TipRanks.
Regulation and Costs Put Pressure on Growth
Regulatory changes are cutting the revenue Luceco gets from each charger, tempering the outlook Investing.com. One-time costs linked to a chief-executive change also weighed on statutory profit, making the 5% share decline less surprising. Investors worry regulatory headwinds could slow the company's momentum despite strong EV market tailwinds Investing.com.
Dividend Raised as Core Business Stays Steady
Luceco raised its interim dividend to 2.1 pence per share, signaling confidence in cash generation Investing.com. Core products—its traditional electrical-goods business—grew a steady 6.5%, showing the company is not dependent entirely on EV growth. With adjusted operating profit now expected to beat market forecasts, management is betting the energy transition will cushion any near-term regulatory headwinds TipRanks.
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