Highlights
· Group revenue increase of 23%
· Record first half pre-tax profit of £212m, up 49% at constant exchange rates
· Group EBITDA margin improves to 43% (2012: 41%)
· £451m of capital invested in the business (2012: £341m) and full year guidance increased
· Group RoI of 18% (2012: 14%)
· Net debt to EBITDA leverage of 2.1 times (2012: 2.4 times)
· Interim dividend raised 50% to 2.25p per share (2012: 1.5p)
Ashtead's chief executive, Geoff Drabble, commented:
"The momentum within the business continued through the second quarter, resulting in record half year pre-tax profits of £212m, up 49% from the prior year. Once again, Sunbelt in the US was the main driver of our growth but it was pleasing to see another strong performance from
A-Plant.
Our strategy continues to be focused largely on organic growth, supplemented by a range of
bolt-on acquisitions. We invested a net £401m in our fleet during the first half and a further £61m on acquisitions. However, at the same time, our strong margins allowed us to reduce leverage to 2.1 times EBITDA.
Activity on the ground and lead indicators remain very healthy and, as a result, we have increased our full year capital guidance to £700m to support our customers during an anticipated strong Spring of 2014.
As a result, we now anticipate a full year profit towards the upper end of current expectations and the Board looks forward to the medium term with increasing confidence."
