Highlights

  • DCC retains a BUY rating with a target price of GBX 6082.75.
  • The company announced interim dividend growth of 5%.
  • The company has a track record of compound annual adjusted operating profit growth of 13% and uninterrupted dividend growth over 31 years.

DCC (LSE:DCC), the Dublin-headquartered energy and services group listed on the London Stock Exchange, has retained a consensus analyst rating of BUY with a target price of GBX 6082.75, according to EODHD/Others.

Strategic Milestones

In the six months ended 30 September 2025, DCC made significant strategic strides that have bolstered its market positioning. The company completed the sale of DCC Healthcare in September and disposed of DCC Technology’s Info Tech business in the UK and Ireland in October. Alongside these divestments, DCC returned GBP 100 million of capital to shareholders.

Further emphasizing its proactive capital management, DCC announced a GBP 600 million tender offer, which was expected to conclude in December 2025.

Trading and Operational Performance

DCC reported a decline in continuing adjusted operating profit of 5.4% for the first half of its 2025/26 financial year, largely due to prior year comparatives, mild weather impacts in the early months, and the disposal of its Hong Kong and Macau operations in July 2024. Despite this, trading improved sequentially in the second quarter, delivering modest growth in operating profit.

Organic growth in Mobility and Energy Services partially offset lower profits in Energy Products, demonstrating the resilience of the company’s diversified business model. Additionally, DCC committed approximately GBP 50 million to liquid gas acquisitions since May 2025, reflecting its strategic investment in expanding energy services capabilities.

Continuing adjusted earnings per share fell 4.2% (or 4.4% on a constant currency basis), but the company maintained its commitment to returning value to shareholders, increasing its interim dividend by 5.0% to 69.50 pence per share. This

Outlook Remains Positive

DCC continues to reiterate its full-year guidance for 2025/26, anticipating a year of operating profit growth, strategic progress, and ongoing development initiatives.