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Sunbelt’s healthy results

8 December 2020

Sunbelt’s healthy results

The significant volume of business arising from being designated as an essential supplier to health services tackling the Covid-19 pandemic has helped Sunbelt Rentals report a very strong performance in its half-year results announced this morning by parent Ashtead Group for the period ending 31 October 2020.

Across the group, revenue of £1,351m was down by only 3%, with rental revenue down by just 4% at £1,216m. Group operating profit was £614m (2019: £690m).

In the UK, Sunbelt Rentals UK (formerly A-Plant) achieved rental only revenue of £172m, a decrease of 2% on the previous year. Total UK revenue actually increased 7% to £273m (2019: £256m), helped by a higher level of ancillary and sales revenue associated with work to support the Department of Health and the roll-out of coronavirus testing centres throughout the UK. This accounted for almost 20% of UK revenue. 

Reflecting the strong performance, Sunbelt Rentals says it has not made any staff redundant as a result of the impact of Covid-19 and has not sought assistance from any government support programmes.

Ashtead's chief executive, Brendan Horgan, commented: "I am delighted to report a strong quarter of market outperformance across the business contributing to rental revenue down only 4% in the half year at constant exchange rates.

“This performance illustrates the successful execution of our long-term strategy, which we embarked upon after the last recession, to broaden and diversify our end markets and strengthen our balance sheet. This positioned us to capitalise on our ever increasing scale, while remaining agile, particularly during these unprecedented times.

“Looking forward, the strength of our business model and balance sheet positions the Group well in markets that are likely to remain uncertain. Based on our half year performance and assuming no further significant adverse impact on our business resulting from the Covid-19 pandemic, we now expect full year results ahead of our previous expectations.”

• Sunbelt Rentals UK’s chief executive officer Andy Wright talks about the company’s work in supporting the NHS in a Q & A article posted recently on this site. 


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