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The Markets
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The Markets
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Business & education services

Speedy Hire still cautious as demand dries up

Speedy Hire PLC (LSE:SDY), the construction equipment provider, saw its shares slip 3% after it warned weak demand had hampered its earnings.

Total group revenues for its 2023 financial year came in 5% lower than 2022 at £420 million, with the group blaming soft demand in the construction sector, cost inflation and warmer weather.

While an exact explanation of how this will affect profits was missing from the update, the group said it would lead to results at the lower end of the board's expectations.

Looking forward, Speedy Hire said it had secured an additional annual turnover of £40 million from new contracts and renewals.

However, this uptick is only expected to provide a "marginal benefit" for 2024 but should give the business confidence moving into 2025 and beyond.

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