Plant hire group Speedy Hire (LON:SDY) warned on profits after a disappointing start to the year, hitting its shares.
The stock fell 6p or 16.2% to 31p after Speedy Hire said profits would be weighted towards the second half and would be materially below current market expectations.
In July, Speedy Hire said it had carried out a review of its business which identified problems including a lack of available equipment as it improved its network.
It also said it had focused too much on strategic accounts at the expense of small business customers and had faced disruption as a new IT system was introduced.
It said at the time that chief executive Mark Rogerson was stepping down to be replaced by finance chief Russell Down. Chairman Jan Åstrand would become executive chairman temporarily.
On Monday, Speedy Hire said it had launched a programme to increase engineering resources, redistribute assets through its depots to improve availability and optimise stock levels.
The group was also taking action to focus more on small businesses and improve its operational structure and IT system.
It said it expected to benefit from those actions from the second half of the year onwards.
Overhead costs across the full year 2016 were expected to be about £13mln lower than the prior year.
It expected to save £10mln of that in the UK and Ireland business, of which about £6mln related to people costs.
But Speedy Hire added that the resolution of the legacy issues was taking longer than planned and current year core hire revenue in the UK and Ireland was now expected to be about 10% below the prior year.
Åstrand said: ""Following the extremely disappointing start to the year, we have taken action to grow revenue and cut costs.
"Whilst these actions will take time to come to fruition, we believe they will deliver material benefits over the medium term."