DIPLOMA PLC, an international value-add distribution group, has released its trading update for the nine months ended 30 June 2024. The company reported strong Q3 performance in line with expectations, with organic revenue growth of 6% and reported revenue growth of 13%. The smooth onboarding of acquisitions, including Peerless and PAR Group, contributed to the positive performance. The full-year outlook remains positive and unchanged, with constant currency revenue growth of approximately 16%, a strong operating margin of around 20.5%, EPS growth of approximately 15%, and free cash flow conversion of around 90%.
The company's decentralised model allows its specialist businesses to be agile and empowered to deliver tailored solutions for their customers. Diploma PLC's businesses have the technical expertise, specialist knowledge, and long-term relationships required to deliver value-add products and services, driving customer loyalty, market share growth, and strong margins. The company employs approximately 3,500 colleagues across its three sectors of Controls, Seals, and Life Sciences, with principal operating businesses in the UK, Northern Europe, North America, and Australia.
Diploma PLC has a track record of consistent growth, having grown adjusted earnings per share (EPS) at an average of approximately 15% per annum over the last fifteen years. The company is a member of the FTSE 100. For further information, the company will host a conference call for analysts and investors, and the next scheduled update is the full-year results on 19 November 2024.