Listed plant hire firm’s turnaround gathers pace

Industrial equipment hire company Northbridge has seen its turnaround gather pace in the first half of the year, boosted by improved stability in the oil and gas sector.

For the six months to the end of June, Burton-based Northbridge reported its first profit before tax for the first half since 2014, breaking even with pre-tax profits of £22,000 compared to a loss of £1.5m in the prior year period.

Group revenue was up 33% to £16.8m from £12.6m while gross profit was significantly up by 50% to £7.5m.

EBITDA was up materially by 90% to £3.4m from £1.8m.

Eric Hook, chief executive of Northbridge, said:”Northbridge is starting to see the benefits from the recovery in activity in the oil and gas markets across both our operating divisions of Tasman and Crestchic. Northbridge’s operational gearing is also now beginning to have a significant beneficial impact on our cash generation.

“We are confident of trading volumes for the remainder of 2019 and with a much-strengthened balance sheet, a strengthening cash flow and further organic opportunities to grow the business, we look forward to the future with optimism. “