Resilient Speedy

18 November 2020

In its results for the six months to September 2020 announced this morning, Speedy reports a situation of ongoing improvement post Covid-19 and a positive trading outlook.

Revenue during this period was £163.8m (2019: £205.7m). Following the lockdown from March, revenues fell by 35% in April but subsequently recovered strongly, the company states. Profit before taxation, amortisation and exceptional costs decreased to £5.9m (2019: £16.4m).

13 depots have been closed and staff numbers had reduced to 3,756 at 30 September (2019: 4,070). No employees remain on furlough and the company says it does not intend to further utilise Covid-19 support schemes.

Speedy states that customer demand continues to improve, with UK and Ireland core hire revenue being approximately 3.5% the below prior year in October. Utilisation rates have recovered from a low point of 45% in April to above 60% at the end of October.

The company adds that the second lockdown has not materially impacted the Group to date, with construction and infrastructure markets continuing to operate.

Chief executive Russell Down says, “I am pleased to report ongoing positive trading momentum in recent months. Moving into the second half, while conditions remain uncertain due to Covid-19, utilisation has returned to 2019 levels and the business is well positioned and invested to take advantage as trading recovers to more normal levels. As a consequence full year results are expected to be towards the top end of analysts' expectations."