Speedy outlook impacted by budget

Speedy Hire has said that it expects its 2026 financial year to be impacted by the recent autumn budget announcements.

While the company didn’t specify what aspects of the budget would impact the Group, it said any impact would likely come in the 2026 financial year and has assesed that at £5 million “before any mitigation.”

As for the 2025 financial year, Speedy said it has delivered “resilient results for the first half” against what it describes as a backdrop of “challenging but manageable” market conditions. As such it expects to meet full year expectations.

Group revenues remained stable with a slight decrease of 2.4% to £203 million, while rental revenue also remained stable, down just 0.1% (to £125 million).

Its services division decreased by 5.4% to £76.5 million.

Results reflect price increases

Speedy said the hire revenue results reflected price increases offsetting a softening in volume demand from its national and regional customers.

However, it added that it has secured new and renewed contracts with key customers, resulting in a “strong pipeline of opportunities which will contribute in H2 FY2025 and into FY2026.”

That includes the contract signed with Amey earlier this year, which will see it provide non-operated plant hire to Amey’s operations on a range of sector contracts including rail, highways and public estates.

That contract commenced in October, the company said. 

Dan Evans, chief executive, said, “We have delivered resilient results for the first half of FY2025 against a challenging but manageable market backdrop, whilst maintaining investment in our Velocity strategy. The Group secured significant contract wins and renewals earlier in the calendar year, which will deliver revenue and profit growth in this financial year and beyond.

Evans added that the company has the second half has “started well” with hire revenues for October and November to date up by 3% on the same period last year.

He said, “Consistent with prior years, the Group expects a strong second half weighting to its hire revenues and profits, as the seasons change and new contracts fully mobilise. It is particularly encouraging that we are mobilising the Amey contract earlier than anticipated, in addition to a strong pipeline of further opportunities that give us confidence in the outlook for the business.”

Rental fleet CapEx 

As for CapEx during the period, that amounted to £40.4 million, £35.6 million of which went towards its equipment for hire. Speedy also said it had invested £7 million in specialist powered access.

It also expanded its range of Battery Energy Storage Systems (BESS) with a £5 million investment. and invested £2 million in Stage V power generation to complement its energy strategy.

68% of investment was on what it describes as carbon efficient ECO products. The proportion of its hire revenue from carbon efficient ECO products has increased from 50% in the comparative period to 56% in the first half of FY2025, it said.