The hire giant confirmed its investment plans in a City update today which saw an 8.8% jump in revenues during the last quarter of 2010 despite the grim weather.

Speedy has also made an encouraging start to 2011 with group revenue up 2.1% compared to last year.

The increase in business came as Speedy concentrates on growth markets such as water, waste, energy and transport.

The Tools, Lifting & Survey products operations had a strong quarter, with revenues in the three months to 31 December 2010 up 9.0% on the same period last time.

Average hire rates continued to rise for the third consecutive quarter.

The statement said: “Based on the current age profile of the Group’s hire fleet, it is estimated that the replacement cost of fleet reaching their UEL’s (useful economic lives) over the next three years is approximately £120m, equivalent to approximately 51% of the current net book value of the hire fleet.

“The Board considers that Speedy is well placed to benefit from the market recovery when it comes.”