Vp profit soars in record-breaking year

Aaron Morby 9 years ago

Equipment rental group Vp is planning a step-change in growth after delivering record profits this year.

The firm said it expected to actively invest in the infrastructure of the group in the coming year, recruiting more talent, expanding the branch network and investing strongly in fleet.

During the year pre-tax profits jumped a third to £26.8m on revenues ahead by 12% at £205.6m.

This result exceeded, by a considerable margin, its previous best year in 2009 when the group reported profits of £21.7m.

Jeremy Pilkington, chairman of Vp, said: “It has been a record-breaking year for the group with significant progress made across all key metrics including profits, revenue, earnings per share and dividends.

“The economic environment in both the UK and globally is more positive than for some time and all group business divisions are identifying significant growth and investment opportunities for the near and long term future.”

“The board believes that Vp’s diverse business model coupled with an active pursuit of growth opportunities will help to continue to deliver quality returns for our shareholders.”

VP results
2015 2014
Revenue £206m £183m
Operating Profit £29m £22m
Operating margin 14.0% 11.9%
Investment in Rental Fleet £49m £ 38m
ROACE 16.2% 13.5%

Looking ahead, he said: “We anticipate construction and housebuilding will carry on at similar levels, though we expect some recovery in transmission, balanced by a quieter year for the UK water sector as the new AMP6 programme enters its typically low spending first year.

“While there has been some recovery in the oil price since late 2014, we expect this market to continue to be tough but with opportunity.”

Rought terrain handling equipment division UK Forks made further substantial progress in the year with profits increasing by 62% to £4m. Increased demand was experienced from both the general construction and housebuilding sectors and as a result, revenues grew by 12% to £18.2m.

Excavation support and piling equipment specialist Groundforce increased profits to £8.9m (2014: £7.9 million) on revenues 5% ahead of prior year at £44.4m.

The Hire Station tools business delivered double digit revenue growth to £77m and nearly doubled operating profits to £8.7m.

New locations were opened in London to support growing activity and several provincial depots moved to larger premises.

Latest plant news

Lower Thames Crossing to lead switch to hydrogen fuelled plant

National Highways commits to remove 66 million litres of diesel on tunnel job
5 months ago

World’s first hydrogen-electric powered access platform

Speedy Hire and Niftylift pioneer zero carbon MEWP
5 months ago

JCB launches all-day operation electric site loader

Compact loader promises productivity matching 403 diesel model
6 months ago

Barhale fits digital ‘thumbs up’ safety signs to diggers

Digital AI safety feature tells workers when safe to approach plant on site
8 months ago

Hydrogen-powered backhoes approved to drive on roads

Government approves use of hydrogen-fueled diggers on public highways.
10 months ago

Vac UK puts in another giant order for £10m of machines

20 new Longo Rhino excavators add to specialist's impressive fleet
2 years ago
Vac UK

Construction materials cost increases hit 40-year high

Steel and timber soar quickest with rises set to continue next year
2 years ago

Cementation Skanska switches all large-scale plant to bio-fuel

Piling contractor commits to Green D+ fuel after big HS2 site trial
2 years ago

JCB targets first hydrogen diggers by end of 2022

Plant giant is investing £100m in developing super-efficient hydrogen engines
2 years ago

House builder backs plant warning cameras on all sites

Countryside commits to AI proximity warning cameras on all site telehandlers
2 years ago

Police launch specialist plant theft busting unit

ACE unit will focus on tackling organised plant theft gangs
2 years ago

On-board breaker takes suction excavator to new level

Specialist manufacturer cracks problem with world first design innovation
3 years ago

Construction plant shortages start to bite

Smaller excavator delivery dates being pushed to 2022
3 years ago

Laing O’Rourke joins switch to electric cars

Plan to transition 1,000-car fleet to all-electric by 2025
3 years ago

JCB to hire 400 agency workers in production push

Demand for machines has rebounded sharply in Europe and North America
3 years ago

Strong trading lifts hirer P Flannery revenue to £116m

Revenue soars to record high for fast-growing plant hirer
3 years ago

Plant hire firm plans £33.8m tourism development

Perthshire site will see construction of hotel, lodges and transport museum
3 years ago

New pothole machine delivers road repairs four times faster

JCB Pothole Pro machine can repair a pothole in under eight minutes and at half the cost of a road gang
3 years ago

Wernick acquires Robert Purvis Plant Hire’s portable accommodation fleet

Wernick boosts presence in Scotland
3 years ago

Plant hirer fined £220k after crane nearly hits apprentice

Court hears how apprentice forced to leap for his life
3 years ago

JCB launches electric telehandler and dumper

Stand-alone rapid charger unit also unveiled to support E-Tech range
3 years ago

City Hire expands guaranteed tool hire service

Equipment delivery time guarantee extended beyond London
3 years ago
City Hire

Three sisters set-up plant hire business

Finnegan sisters buy first kit after securing funding deal
3 years ago

Fox Bros snaps up north west hirer Clive Hurt

North West haulier and earthworks contractor now on the hunt for bigger jobs
3 years ago

Speedy trials electric taxis as tool delivery vans

Converted red taxicabs can carry two pallets up to 800kg
3 years ago

Major plant hirer Vp sees revenues rebound

Hire revenues back to 80% of pre-Covid level
3 years ago

Flannery trials first electric tele at HS2 site

Skanska Costain Strabag JV to roll out more machines across HS2
3 years ago

Tower crane lifts end long climb to work for operators

Laing O'Rourke trials mast climbing lifts for tower crane operators at London site
3 years ago

JCB powers up first hydrogen fuelled digger

JCB in race to lead the world on hydrogen-powered plant
3 years ago

Self driving plant to be standard on road jobs by 2035

Highways England launches 15-year plan for a 'digital revolution'
3 years ago

Contractor services