Parent company Lavendon has reported that its UK rental revenues were 拢49.1m for the six months to 30 June 2013, down from 拢52.4m for the same period last year.
鈥淲ith a lower level of major construction project work available, we have seen some pricing pressure in the market, with year on year pricing declining by around 1%,鈥� the company said.
鈥淥ur volumes have been marginally ahead of prior year levels, although these reflect a shift in the mix of fleet on hire towards smaller units, resulting in a lower rate of revenue per hire.鈥�
UK operating profit fell by 拢1.1m to 拢6.1m, with the operating margin declining to 11.8% from 12.7% last year.
The board added: 鈥淎lthough recent sentiment regarding the UK economy has been more encouraging, we are not assuming a significant improvement in market conditions in the near term. Consequently our efforts will remain focused on improving revenue performance through structuring our work-winning resources in the most effective manner to maintain and grow our market share.鈥�
For the whole Lavendon group, strong growth in France and the Middle East offset softer market conditions elsewhere. Group revenue for the half-year was down just 1% to 拢113.6m, while rental revenue was up 1% to 拢108.1m. Underlying pre-tax profit was up 17% to 拢11.1m.
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