27th May 2015 06:58
LONDON (Alliance News) - Tool and equipment hire company HSS Hire Group PLC on Wednesday said trading in the first quarter was in line with its expectations, with solid volume growth in its core and specialist businesses.
Revenue in its core business was up by 12% to GBP62.7 million in the 13 weeks to March 28, up from GBP55.8 million a year earlier, while specialist revenue increased by 36% to GBP9.8 million from GBP7.2 million. HSS also improved its utilisation rates in both divisions, with core utilisation improving to 47%, up one percentage point, and specialist utilisation up by three percentage points to 72%.
Adjusted earnings before interest, taxation, depreciation and amortisation fell in its core business to GBP10.2 million, down from GBP10.9 million, owing to the cost of investments made in the roll-out of local branches. Adjusted EBITDA in the specialist business, however, rose by 68% to GBP5.2 million. Adjusted EBITDA is defined as operating profit with depreciation, amortisation and exceptional costs added back.
HSS said trading in the second quarter is ahead of its expectations and said its store opening plan is on track, with 20 opened in the year so far and another 30 planned.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Hss Hire