Shares of Homeserve plc (LON: HSV) surged 4.12% today after the British international home emergency repairs company announced that its six-month profits rose to £33.1 million ($43.76 million) from £28.6 million a year earlier.
The company reported that its revenues grew 17% during the six-month period boosted by high demand in North America and revenue from eLocal, which the company acquired79% of in November 2019, to enter the American Home Experts market.
Homeserve achieved its impressive profit growth despite the absence of exceptional gains worth £7.4 mln recorded in a similar period last year, and the higher amortisation cost of £23 million versus last year’s £16.3 million.
The company raised its dividend by 7% to 6.2p due to the strong performance and raised its full-year profit target.
Homerserve noted that it has benefitted immensely from the surge in remote working as people spent money on home improvements to make their lives more comfortable because they are spending more time at home due to COVID-19 restrictions.
Richard Harpin, Homeserve’s CEO said: “As we go into the busy winter months, our focus continues to be on delivering great service for our customers and a secure livelihood to our teams and trades.”
“The latest wave of lockdowns has made no fundamental difference to our operations, and the good news for us and our customers is that engineers can continue to work in peoples’ homes.”
Homeserve share price
Hoeserve shares surged 4.12% today to trade at 1288p having gapped higher from Monday’s closing price of 1237p.