Lavendon's revenues up 37% for the first five months
By Maria Hadlow27 June 2008
Access rental specialist, the Lavendon Group, was able to announce encouraging results in a pre-close trading update. The Group's revenues for the five months ending 31 May 2008 have increased by 37% compared to the same period last year with operating margins continuing to improve.
In the UK an increase of 30% was reported helped by the acquisition of The Platform Company completed on 1 April. The company said that The Platform Company had performed well and in line with its expectations.
A modest growth in Germany of 5% in sterling terms was reported but this equates to a 4% decline based on local currency, this is put down to the merger of the Group's two German operations at the beginning of the year.
Revenues from the French and Belgian businesses have increased 307%, reflecting the acquisition of the DK Rental businesses, while in Spain revenues have increased by 175% after buying DK Rental Spain.
Total revenues from the Middle East have grown by 13% with rental revenues (as oppose to sale of new equipment) increasing 33%.
The Lavendon Group's net debt levels have increased following the acquisition of The Platform Company, but said the company, they remain comfortable and are well supported by strong operational cash flows.
Lavendon's half year report will be issued on 29 August.