4th Dec 2019 09:21
(Alliance News) - Industrial equipment rental firm Vp PLC expressed confidence on Wednesday despite a subdued environment in the UK.
Vp's revenue for the six months to September declined by 3% to GBP186.6 million on the year before, with pretax profit falling 2.1% to GBP23.4 million.
Excluding exceptional items and amortisation, the company's pretax profit was flat on the year prior at GBP25.9 million.
Harrogate-based Vp has boosted the interim dividend by 3% to 8.45 pence per share.
"The group made good progress in the first half of the year against a subdued market backdrop. Despite the ongoing political and economic uncertainty in the UK, our focus on quality of earnings has delivered enhanced operating margins during the period," said Chair Jeremy Pilkington.
The UK business, which makes up the great majority of Vp's business, had a "solid" half, Vp said, with revenue falling slightly. Infrastructure and housebuilding operations were solid, it continued, but construction and civil engineering activity declined slightly.
Abroad, revenue again fell slightly, with "reassuring" progress made in Malaysia and New Zealand but demand in Australia weakened "a little".
"The board remains confident of a positive full year outcome and looking ahead, we believe we will continue to deliver very satisfactory results for all stakeholders," concluded Chair Pilkington.
Shares in the company were down 0.9% on Wednesday morning at a price of 880.40p apiece.
By George Collard; [email protected]
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