16th May 2018 11:53
LONDON (Alliance News) - Speedy Hire PLC said Wednesday revenue and profit both grew in its recent financial year, prompting a 65% increase in the company's annual payout.
For the full-year ended March 31, the tools and equipment for construction provider reported revenue of GBP377.4 million, up 2.2% from GBP369.4 million in financial 2017. On a like-for-like basis excluding disposals, revenue rose 6.4% from GBP349.1 million.
Pretax profit grew 25% to GBP18 million from GBP14.4 million in the previous full-year results. On an adjusted basis, pretax profit grew 60% to GBP25.9 million from GBP16.2 million.
Gross profit rose 6.8% as gross margin widened to 54.2% from 51.9%, amid cost controls. Earnings before interest, tax, depreciation and amortisation for the full-year grew 16% to GBP73.0 million from GBP63.1 million.
The company reduced its net debt by 2.8% to GBP69.4 million from GBP71.4 million. It said its return on capital employed improved to 11.5% from 7.7%.
Speedy Hire declared a 65% increase in its dividend to 1.65 pence from 1.00p last year.
Chief Executive Officer Russell Down said Speedy Hire started the new year well with "revenue ahead of the comparative period on a like for like basis".
"Whilst we are early into the new financial year, and some of the benefits from the acquisitions have been realised, we are confident of delivering further progress in the year ahead in line with our current expectations," he added.
Speedy Hire shares were trading up 1.4% at 59.80 pence Wednesday.
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