Speedy goes digital with B&Q

Photo: Speedy Hire

UK rental company Speedy is to expand its partnership with B&Q - the UK’s largest and best-known DIY and builders merchants chain - by offering online home delivery tool rental from B&Q’s two main websites, DIY.com and trade-point.co.uk.

The online rental service will also be available at each of B&Q’s 310 stores around the UK before the end of this year.

Dan Evans, Speedy’s chief executive, said in a trading statement that he was “pleased to confirm the digital evolution of our partnership with B&Q, launching our online, home delivery tool hire proposition.

“This will then be extended into over 310 B&Q stores nationally for digital hire in-store, in an overall lower cost-to-serve operating model.”

The announcement was made as Speedy released its financial results for the six months to 30 September, revealing a 2.9% decline in revenue compared with 2022.

Sales in its hire services were down by 1.2% year-on-year in the period, while its services division saw a 5.2% decline year-on-year. 

The company said the decrease reflected a softening in volume demand from regional customers, partially offset by price increases and a strong performance with national customers.

It added that despite the “challenging but manageable market backdrop”, it expects a “promising pipeline of opportunities” to contribute in the future.

Meanwhile, capital expenditure for the period was £22 million, of which £17.6 million related to rental equipment, while adjusted EBITDA was down 2.5% to £46.2 million.

The company said the fleet investment included a “significant proportion of carbon efficient ECO products, in line with the increasing relevance of sustainable solutions.”

Dan Evans said the company was performing resiliently in the face of cost inflation and economic uncertainty; “The group has a promising pipeline of opportunities to deliver revenue growth in the second half and beyond,” he said.

“As in prior years, the group expects a second half weighting to its revenues and profits, as the winter programmes commence and new contracts fully mobilise in the period, including those communicated at year end.

“We expect to see the benefits of our investments in our Velocity strategy including operational efficiency and supply chain optimisation, in the second half and beyond.

“Whilst the macroeconomic outlook is uncertain, we remain confident of delivering results, albeit towards the lower end of the board’s expectations”.