Prices up, volumes down at Speedy Hire

Speedy Hire's revenues for the three months to 30 June were 2.2% lower than the same quarter in 2010, with an 8.8% improvement in rental prices offset by a 5.8% fall in volumes.

The figures were given in an interim market statement and released at the company's annual general meeting today by company chairman Ishbel Macpherson.

Ms Macpherson said the financial year had started "satisfactorily", with promising opportunities in the utilities and transport sectors but continued uncertainty in wider construction.

Revenues for the three months would have been 0.5% up but for the loss of a major contract with Network Rail in December last year. Speedy said there had been improvements in monthly comparatives, with June revenues up 6.2% on the 2010 result.

Combined sales at Speedy's new divisions, International Asset Services and Training & Advisory Services, were up 73% to £3.5 million. The international division is operating in the Middle East and the advisory services offered include training activities.

Ms Macphesson said the three month period had seen the company refinance its banking arrangements with a new £220 million asset based revolving credit facility; sell its loss-making Speedy Space accommodation division; and appoint experienced ex-Aggreko chairman Dr Chris Masters as a non-executive director.

"The Board considers that, with its market leading position, strong balance sheet and clear market approach, the Group is well positioned to take full advantage of wider economic recovery", she said.

Meanwhile, Speedy announced that it is spending more than £1.8 million with Leica Geosystems to upgrade its surveying fleet.

The investment includes a further 200 Leica FlexLine TS06 5" Power Total Stations, growing the fleet holding of this product to 450 units, which Speedy said is the largest in the UK and Ireland. Also included in the investment is a "significant quantity" of Robotic One Person Total Stations and GNSS SmartRovers operated by the Leica ‘Viva' software.

Andy Connor, supply chain director at Speedy, said: "We have a commitment to provide our customers with the most innovative, quality equipment, when and where they need it, and the extension of our range of Leica Geosystems products ensures that Speedy customers always have access to the one of the largest and most sophisticated collections of surveying equipment on the market."