20.12.2006

Lavendon up 23%

The Lavendon Group has increased its revenues by around 23 percent on 2005. Which should bring revenues in at around £123 million. This includes some organic growth but the bulk has come from its series of UK acquisitions earlier this year along with strong growth in the Middle East.

The UK revenues are up by 32 percent, to over £80 million, largely due to the group’s acquisitions in early 2006 of Panther, Kestrel and AMP.
Meanwhile Nationwide Access has also increased its revenues in spite of operating a smaller fleet due to some transfers of equipment to the new operations.

In Germany the revenue declines of the first six months, were fully recovered in the second half, with better trading conditions, leading to a two percent improvement on 2005, taking revenues to around £22 million. The Gardemann acquisition will have only a very minor impact on revenues for 2006.

Revenues in France increased by four percent to just under £7 million while Spain, which had been placed in a holding strategy, has grown by 12 percent to around £4 million. Both operations improved their gross margins, which should see France break into profit.

The Middle East continues to perform exceptionally well, growing by 36 percent to over £10 million, with margins remaining strong. The fleet was significantly expanded in the second half with machines purchased from the Universal administration.

Net debt has increased following the acquisitions made in Germany and the UK during the year. But, says the company, are well covered by improved cash flow and trading performance.

Overall, the Group expects to finish the year ahead of its forecasts and market expectations.