Business
Trading Update & AGM Statement
Trading Update & AGM Statement.
About this update from Speedy Hire Plc
[{"type":"text","content":"\n \n \n \n Speedy Hire Plc (\"Speedy\", \"the Company\" or \"the Group\")\n \n \n \n \n \n 8 September 2022\n \n \n Trading update and AGM statement\n \n \n Speedy, the UK's leading tools and equipment hire services company, operating across the construction, infrastructure and industrial markets provides an update on trading in advance of its Annual General Meeting later today.\n \n \n \n Trading performance\n \n \n \n Trading overall is in line with the Board's expectations for the full year\n .\n \n \n In the five months to August 2022 hire revenue is c.6% ahead of 2021. We have secured new contract wins from major customers effective from October 2022 which are expected to offset some recent weakening in market conditions. Price increases implemented in April 2022 have not had a material impact on volumes.\n \n \n We are controlling costs through initiatives to improve operational efficiency and the effective management of our supply chain, mitigating the effect of inflationary pressures.\n \n \n We have continued to invest in our Retail and Trade offering through development of the customer proposition in both B&Q stores and on diy.com. A significant national marketing campaign is underway to promote the hire proposition to consumers.\n \n \n The Kazakhstan JV is continuing to perform well and ahead of expectations following new work secured in FY2022.\n \n \n \n Balance sheet and investment in hire fleet\n \n \n \n The Group has a strong balance sheet with net debt as at 31 August 2022 of c.£95m and cash and unutilised facilities of c.£85m.\n \n \n The Group has invested c.£28m in the hire fleet in response to demand and to mitigate the impact of supply chain lead times and price inflation. In line with the Group's strategic goals, the investment has been focused on sustainable products.\n \n \n \n Share buyback\n \n \n \n In January 2022 the Board commenced a share buyback programme of up to £30m reflecting the Group's cash generative ability and strong balance sheet. To date c.£18m of shares have been purchased under the programme. The general authority for the programme expires at today's AGM, where a resolution to renew the authority will be considered by shareholders and subject to approval of that resolution, it is the Board's intention to continue the programme for the balance of the initial £3...