Revenue grew 7.7% on a like-for-like basis over the same period in 2010 as the group continues to demonstrate performance ahead of the market.
Financial highlights
Revenue of £136.4m for the first nine months, ahead 7.7% over the same period in 2010 on a like-for-like basis.
- EBITDA of £30.7m for the first nine months, up 3.1% on a like-for-like basis over the same period in 2010.
- Q3 revenue of £46.9m up £2.2m over Q3 2010 and EBITDA of £11.2m, only £0.9m behind Q3 2010, reflecting the roll out costs of a new logistics and operational platform.
- Major new contracts wins throughout the quarter as a result of investment in network transformation; including a five year sole supplier agreement with British Waterways and a multimillion pound strategic alliance with Enterprise, one of the largest infrastructure maintenance businesses in the UK.
- Continued investments in hire equipment fleet and infrastructure with capital spend of £8.2m in the quarter, up £2.1m over the same period in 2010.
- Roll-out of the new logistical and operating platform continues which will deliver improved distribution, stock management and service capabilities.
- Continued strong performance and revenue growth from HSS Training, the Group’s specialist training division.
- The Group remains focused on organic growth, particularly through its regional and key accounts and customer-centric propositions.
- The Group continues to expect to report steady revenue growth throughout the full year despite challenging economic conditions.
- As a result of the increased costs required to support the final transition to the new operating platform, EBITDA growth will be behind revenue growth for the full year.
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"As planned, we invested in the roll-out of our new logistics and operating network which is due to be completed in line with our plans by the end of 2011.
"Whilst costs associated with supporting this transition have impacted our earnings in the short term, we have now laid the foundations for strong efficiency gains, higher utilisation and service level improvements into 2012. By investing for the future we ensure that we always offer an unrivalled hire experience."
