Middle East drives growth at Lavendon

Lutterworth-based powered access provider Lavendon Group has posted a rise in both profits and revenues for the year ending 31st December 2015.

Revenues were up slightly by 1 per cent to £248.6m, whilst profits rose by 10 per cent on the back of a strong performance in the Middle East to £43.1m.

Don Kenny, chief executive of Lavendon Group, said: “I am encouraged by the Group’s performance in 2015 which was ahead of market expectations. We delivered the best underlying operating margin, PBT and ROCE in over 10 years despite tougher conditions across the Group’s markets. Our businesses experienced a strong finish to the year with all regions growing in the fourth quarter. The full year dividend increase of 17% reflects this strong performance and the Board’s confidence in the Group’s long-term future.

“The strength of our cash flows and the healthy financial position of the Group enabled us to increase fleet investment during the year, improving our market positions and ensuring we are well placed to capture growth opportunities in 2016.

“Our new management team in Germany are restructuring the business and this will be operationally complete by the end of 2016. We are confident the actions being taken will increase our market share, drive revenues and improve financial returns to the Group.

“Current trading to date in 2016 is in line with our expectations, and whilst we recognise the recent increased uncertainty in the economic outlook, the Board looks forward to delivering another year of progress in 2016.”