HSS Hire pleased with ‘ year of growth’
HSS Hire, the tool hire company, has reported a jump in revenue and operating profits in its first annual results since becoming a public company in February.
The group, which has its biggest concentration of staff in Manchester with the majority working at a national customer service centre on Trafford Park, said revenues had risen 25.5% to £284.6m in the year to December 27 2014.
Adjusted EBITDA was up 26.7% to £71.1m, while operating profits were 10.3% ahead at £23.6m. At the bottom line though it reported a pre-tax loss of £8.5m, compared with a £2.6m profit in the previous year, as £31m of finance expenses were incurred.
The company said it had made an “ecouraging start” to 2015 with new branches opening at a rate of one a week.
Chief executive Chris Davies said: “2014 was a year of excellent progress as we continued to deliver strong growth across both our core and xpecialist businesses. This performance reflects both our focus on the less cyclical and higher value-added ‘maintain’ and ‘operate’ segments of the market and a deliberate customer demand-led approach to investment in our hire fleet.
“Our new equipment refurbishment facility, which opens in Q4 2015 (in Trafford Park), will help us extend the life of our asset base and improve the service we provide to customers, and we are continuing to capitalise on the trend to outsourcing by further developing our larger key accounts. In addition, we continue to review a number of potential specialist acquisition targets.
“Our growth aspirations are based on a disciplined approach, a clear strategy and solid financial foundations. 2015 will see us continue to strengthen the business and create new ways to exceed our customers’ expectations.”
Sounding a slight note of caution, he added: “While the forthcoming UK general election creates an element of short term uncertainty for our customers, HSS is in good shape and we look to the future with confidence.”
