		<div class="wpcnt">
			<div class="wpa">
				<span class="wpa-about">Advertisements</span>
				<div class="u top_amp">
							<amp-ad width="300" height="265"
		 type="pubmine"
		 data-siteid="111265417"
		 data-section="2">
		</amp-ad>
				</div>
			</div>
		</div><p><a href="http://londonglossy.com/wp-content/uploads/2011/02/speedy-returns-to-sales-growth.jpg"><img class="alignnone size-full" title="Speedy Hire said output in the snow-hit construction industry fell 3.3 per cent in Q4" src="http://londonglossy.com/wp-content/uploads/2011/02/min-speedy-returns-to-sales-growth.jpg" alt="Speedy Hire said output in the snow-hit construction industry fell 3.3 per cent in Q4"/></a></p>
<p>Speedy Hire said its tools and building equipment hire business returned to sales growth in the final quarter of 2010 despite the contraction in the construction industry.</p>
<p>The Merseyside-based company, which operates from 325 sites, reported an 8.8% increase in revenues excluding equipment sales compared to the same period the previous year, while equipment sales increased 23%.</p>
<p>Output in the snow-hit construction industry fell 3.3% in the quarter but Speedy achieved growth by focusing on resilient sectors, such as water, waste, energy and transport.</p>
<p>Although Speedy&#8217;s sales growth slowed to 2.1% in January it said it could return to profit at an underlying level in its second half, providing that it continues to trade well in the next few weeks. It made a £4.6 million underlying loss in the first half of its financial year to the end of September.</p>
<p>Shares in Speedy were up 3% after it said its focus on growth markets and previous efforts to restructure the business left it well placed to benefit from any recovery in the market.</p>
<p>Increased rates meant the company lifted revenues despite a 6.2% reduction in the volume of equipment on hire compared to the previous quarter.</p>
<p>Wayne Gerry, an analyst at Investec Securities, described the update as &#8220;mixed but encouraging&#8221;.</p>
<p>He added: &#8220;Although Speedy has still to trade through two important months, a third consecutive quarter of rate improvement bodes well for the UK business.&#8221;</p>
<p>However, he downgraded his profits forecast to take account of losses from earlier in the year when two of Speedy&#8217;s customers &#8211; social housing group Connaught and building firm Rok &#8211; went into administration, wiping a combined total of £1.9 million from its revenues. Its international arm is also growing less quickly than expected, he added.</p>
<p>He forecast that the business will make a pre-tax loss of £800,000 in the year to March 2011, whereas previously he had estimated pre-tax profits of £1.8 million. But he still expects Speedy to return to making a pre-tax profit in 2012.</p>
			<div style="padding-bottom:15px;" class="wordads-tag" data-slot-type="belowpost">
				<div id="atatags-dynamic-belowpost-68ee9c12f3679">
					<script type="text/javascript">
						window.getAdSnippetCallback = function () {
							if ( false === ( window.isWatlV1 ?? false ) ) {
								// Use Aditude scripts.
								window.tudeMappings = window.tudeMappings || [];
								window.tudeMappings.push( {
									divId: 'atatags-dynamic-belowpost-68ee9c12f3679',
									format: 'belowpost',
								} );
							}
						}

						if ( document.readyState === 'loading' ) {
							document.addEventListener( 'DOMContentLoaded', window.getAdSnippetCallback );
						} else {
							window.getAdSnippetCallback();
						}
					</script>
				</div>
			</div>
Discover more from London Glossy Post
Subscribe to get the latest posts sent to your email.
