Parent company Lavendon has reported that its UK rental revenues were £49.1m for the six months to 30 June 2013, down from £52.4m for the same period last year.
“With a lower level of major construction project work available, we have seen some pricing pressure in the market, with year on year pricing declining by around 1%,” the company said.
“Our volumes have been marginally ahead of prior year levels, although these reflect a shift in the mix of fleet on hire towards smaller units, resulting in a lower rate of revenue per hire.”
UK operating profit fell by £1.1m to £6.1m, with the operating margin declining to 11.8% from 12.7% last year.
The board added: “Although recent sentiment regarding the UK economy has been more encouraging, we are not assuming a significant improvement in market conditions in the near term. Consequently our efforts will remain focused on improving revenue performance through structuring our work-winning resources in the most effective manner to maintain and grow our market share.”
For the whole Lavendon group, strong growth in France and the Middle East offset softer market conditions elsewhere. Group revenue for the half-year was down just 1% to £113.6m, while rental revenue was up 1% to £108.1m. Underlying pre-tax profit was up 17% to £11.1m.