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Intertek Group PLC ITRK View profile

Intertek reports 7% third-quarter revenue growth as EQT takeover nears completion

A technician operates a precision measuring machine in a laboratory setting, focusing on a metal workpiece. The scene highlights the intersection of technology and engineering in a — Credit: AI-generated (ChatGPT)
AI-generated (ChatGPT)

Intertek, the FTSE 100 testing and quality assurance group, has reported 7.0% third-quarter revenue growth at constant currency.

Revenue for the quarter rose to £941.8 million, with like-for-like growth, which strips out acquisitions and disposals, of 6.4%.

For the nine months to September, revenue was £2.7 billion, up 6.4%, with like-for-like growth of 5.4%.

The group said its takeover by EQT, the Swedish private equity firm, was on track to complete in the fourth quarter of 2026 or the first quarter of 2027.

Shareholders have approved the deal, which still needs some regulatory approvals.

Intertek kept its 2026 outlook of mid-single digit like-for-like revenue growth, continued margin improvement, strong earnings growth and strong free cash flow.

Because of the bid, the guidance is formally a profit forecast under the Takeover Code, and the board confirmed it remains valid.

Divisions

Consumer Products was the fastest-growing division, with like-for-like revenue up 9.8% to £277.8 million in the quarter.

Industry and Infrastructure grew 9.2%, helped by a double-digit rise in its minerals business, which benefited from new contracts and the recent purchase of Base Met Labs.

Health and Safety rose 7.5%, with double-digit growth in food testing.

Corporate Assurance grew 4.3%.

World of Energy, the division focused on oil, gas and fuels, was the exception, with like-for-like revenue down 0.6%.

Intertek blamed difficult operating conditions in the Middle East and falling research spending by carmakers, with a double-digit decline in its transportation technologies unit.

Outlook by division

The company lowered its full-year expectations for two divisions.

Health and Safety is now expected to deliver mid-single digit growth, and World of Energy is expected to be stable.

Net finance costs are forecast at £69 million to £70 million for 2026, with year-end net debt of £800 million to £850 million.

André Lacroix, chief executive, said the company had delivered "a strong Q3 trading performance with broad based revenue growth".