Balfour deal supports Vp growth

For the year ended 31 March 2013, Vp’s profit before tax and amortisation increased 9% to £17.4m (2012: £16.0m). 

Revenues were up 3% to £167.0m (2012: £161.5m).

The operating margin increased to 11.9% (2012: 11.5%) and the return on average capital employed improved to 13.3% (2012: 13.0%).

As we reported last year, Vp paid £4.1m to buy Balfour Beatty’s plant rental business activities operating from depots in Croydon and Exeter, along with its survey, safety and communication equipment rental business activity.

Chairman Jeremy Pilkington said that these have now been integrated into the ESS Safeforce and UK Forks businesses and are performing in line with expectations.

Mr Pilkington said: "The group has delivered another strong performance with increased profits, margins and return on capital employed.  Whilst the economic background still contains significant uncertainties and challenges, this set of results again demonstrates the group's ability to continue to deliver value for shareholders even within a relatively unsupportive trading environment. 

"Each of our businesses continues to work hard to uncover opportunities for investment and growth and we believe that the Group has positive momentum moving into the new financial year.  We look forward to another year of progression as we maintain our focus on delivering consistent, quality and sustainable returns over the long term."

The results from each operating division are given below:

HIRE STATION
Small tools and specialist equipment for industry and construction.

GROUNDFORCE
Excavation support systems, specialist piling solutions and trenchless technology for the water, gas, civil engineering and construction industries.

TORRENT TRACKSIDE
Suppliers of rail infrastructure portable plant and specialist rail services to Network Rail, London Underground and their respective contractor bases.

UK FORKS
Rough terrain material handling equipment for industry, residential and general construction.

TPA
Portable roadway systems, primarily to the UK market, but also in mainland Europe.

AIRPAC BUKOM OILFIELD SERVICES
Equipment and services for international oil and gas companies.

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