11.05.2004

Ashtead announce revenues for 2003/4

The Ashtead group, parent of A-Plant in the UK and Sunbelt in the USA, has issued a year end trading statement that shows overall group revenues falling by eight percent (£40 million) to £500 million for the year to the end of April 2004.

In the UK A-Plant revenues dropped by 12 percent due to ongoing competitive pressures in the UK market, along with the effects of the depot closures and disposals, the largest being the sale of the Irish business to McCormick Macnaughton in January of this year (see vertikal.net Jan 15) other disposal included the mast climber fleet in June of 2003.

Sales in the fourth quarter, following the completion of the disposal programme, was within one percent of 2003 revenues for the remaining businesses. Fleet utilisation for the quarter improved from 59 percent to 63.6 percent. For the year as a whole it was a shade lower at 60 percent.

The company expects the costs savings arriving from the closures will largely offset the lost revenue for the year.

In the USA the picture was rosier, at least in dollar terms! Revenues increased by four percent to $572 million with utilisation up marginally to 65 percent. Activity in the fourth quarter was up 13 percent as market conditions continued to improve.

With the Dollar -Sterling exchange rate off by an average for the year of nine percent, the gains made in the USA will be lost when consolidated into the groups sterling accounts.