10.05.2006

Hewden revenues up 3.1%

Finning International's first quarter results show that, its UK rental operation, Hewden, Europe’s largest rental company, Saw revenues in sterling terms climb by 3.1 percent, to around £72 million.

Some of the increase was attributed to this year’s period having three more working days than in 2005.

Earnings Before Interest and Tax jumped by around 60 percent in Canadian dollars, climbing from C$6.6 million to C$10.4 million.

In sterling, the increase would have been greater, with earnings in the region of £5 million or seven percent of revenues compared to four percent of revenues for the same period last year.

The improvement in profitability is related to improved rental rates and reduced costs. There was also a one off £700, 000 gain on the disposal of a property, but this as offset by the extraordinary cost of its new information system.


Finning (UK), the CAT distributor, Perkins engine importer and Lex forlift rental business, saw revenues rise by 10.6 percent in sterling terms. Earnings were almost double that of 2005 at C$ 7.9 million, reflecting a higher contribution from the Materials Handling, Power Systems and Construction Equipment divisions.