Shanks appoints former army officer as new chief

Peter Dilnot, 42, will take up his new role on February 1, 2012. He will succeed former chief executive Tom Drury, who left the Group in September to join asset management company Arrow Global (see letsrecycle.com story).

Since 2005, Mr Dilnot has worked for the Danaher Corporation and is currently group president, emerging markets of its Gilbarco Veeder-root subsidiary and president of Danaher Middle East.

Danaher is a global science and technology company which designs, manufactures and markets products and services for medical, industrial and commercial customers and has annual sales of $3 billion (1.8 billion). During his time at the company, Shanks said that Mr Dilnot had helped to deliver profitable growth, both organically and through the acquisition and integration of five businesses in Europe, India and Brazil.

Prior to joining Danaher, Mr Dilnot spent seven years at the Boston Consulting Group (BCG), working at its offices in London and Chicago across a range of industries.

Before this, he spent nine years as an officer in the British Armed Forces. He originally trained as an army helicopter pilot, and subsequently saw active service with both NATO and the UN. He holds a degree in mechanical engineering from Bristol University and also graduated from the Royal Military Academy at Sandhurst.

Adrian Auer, chairman of Shanks, said: Shanks is in great shape with good prospects. In Peter we have appointed a top class executive with a most impressive track record. I have no doubt Peter will bring the energy and leadership to maintain the momentum of our progress to date and manage the next phase of Shanks growth.

Mr Dilnot added: I am looking forward to the challenge of building on Shanks Groups positive momentum. Shanks is a business with a strong team, leading sustainable waste management capabilities, and great potential for the future.

Results

The news of the appointment came as Shanks announced its results for the six months ending on September 30 2011.

Revenue across the Group as the whole which operates in the Netherlands, Belgium, UK and Canada was up 11% during the period at constant currency to 398 million, while underlying profit before tax was up 20% to 20.8 million.

In the UK, the company said it achieved strong growth. Here, revenue was 100 million in the six months ending September 2011, up 18% from the 85 million reported for the same period in 2010. Meanwhile, trading profit was 3 million, up 60% from 1.9 million in 2010.

While the company noted that declines in the volumes of solid waste had continued in the UK, falling by 9% compared to the same period in 2010, it said that this had been compensated for by price increases of around 3%, greater diversion from landfill and the integration of the Edinburgh-based Allied Waste Services business, which was bought for 6 million in February 2011 (see letsrecycle.com story).

PFI

Shanks added that the profitability of its existing PFI portfolio had continued to improve with further operational enhancements and a full six months benefits from the management of the Derby waste collection service with margins in the portfolio at 9%.

The company noted: The PFI market remains active and our bid pipeline is strong. We are currently preferred bidder on three contracts and we remain one of the final two bidders for seven other bids representing 1.1 million tonnes of waste per annum.

Shanks also pointed to the recent opening of its anaerobic digestion plant in Glasgow in partnership with Energen Biogas, adding that Development of other AD plants in England remains on track (see letsrecycle.com story).

Commenting on the results, Shanks acting chief executive Chris Surch said: These are good results which demonstrate our ability to deliver continued growth of revenues and profits against a challenging macro-economic background.