Speedy Hire PLC on Tuesday set three five-year financial targets, including reaching revenues of around £650 million per year, ahead of its capital markets day for investors and analysts in Milton Keynes, England.
The Merseyside-based tools and equipment hire services company’s annual revenue target of £650 million would represent an increase of 48% from £440.6 million in the financial year that ended March 31.
Its financial 2023 revenue itself was up 14% from £386.3 million a year earlier.
Speedy Hire also targeted increasing earnings before interest, tax, depreciation and amortisation margins to around 28% per year over five years, compared to 24% in its financial 2023.
In its financial 2023, Speedy Hire’s Ebitda was £103.7 million, up 4.4% from £99.3 million a year earlier.
The third of Speedy Hire’s five-year targets was maintaining net debt to Ebitda in the range of 1.0 to 1.5 times per year.
Speedy Hire said the strategy was driven by its growth engines of core hire, specialist products and services, and trade and retail markets.
The planned delivery of the ’Velocity’ strategy is ‘supported by the strategic pillars’, Speedy Hire said, of aiming to be a Top 100 employer, environmental, social and governance concerns, digital and utilising artificial intelligence-driven technology to automate process and enhance performance towards a ‘modern workplace’.
‘We are excited to share the details on Velocity, our five year transformation and growth strategy to support the company’s mission to be the most efficient and sustainable UK hire business,’ said Chief Executive Officer Dan Evans.
‘We look forward to hosting this at our Innovation Centre in Milton Keynes, which will also give us the opportunity to show our strategy in action. I am confident Velocity will support the delivery of our five year targets, driving long-term value for all of our stakeholders.’
Speedy Hire noted it would not give an update on current trading at this time.
Shares in the tools and equipment hire services firm were up 3.3% to 36.00 pence each in London on Tuesday morning.
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