Ashtead Q3 results

5 March 2024

Third quarter results up to 31 April 2024 for Sunbelt Rentals’ parent Ashtead Group show the ongoing readjustment of its operations in the UK after Covid-19 related work for the Department of Health ended.

The UK business generated rental only revenue of £350m, up 9% on the prior year (2023: £321m). Bolt-ons since 1 May 2022 contributed 2% of this growth. Ashtead says that rental-only revenue growth has been driven by both rate and volume improvement, with rental revenue increasing 4% to £441m (2023: £424m), while total revenue was flat at £524m (2023: £522m). 

In the third quarter, the UK operations generated rental-only revenue of £111m (2023: £106m), 5% higher than the prior year. Total revenue increased 3% to £165m (2023: £160m) reflecting the high level of ancillary and sales revenue associated with the services provided last year for the Queen's funeral. 

For Ashtead Group overall, revenue for the nine-month period was up by 14% to $8,231 (2023: $7,224), with US total revenue 15% higher at $7,072m ($2023: $6,139m) and rental-only revenue increasing by 12% to $4,993m (2023: 4,441m).

Ashtead's Chief Executive, Brendan Horgan, said: "The Group's operating performance continues to be strong with revenue up 14% and rental revenue growth of 11%, both at constant currency. “

“As outlined previously, our third quarter rental revenue growth in North America was affected by the lower level of emergency response activity related to natural disasters and the longer than anticipated actors' and writers' strikes. Taking into account Q3 performance, we now expect Group rental revenue growth for the full year to be at the low end of our 11-13% range and full year results broadly in line with expectations.”