21.04.2016

Ashtead set to beat expectations

Ashtead, owner of Sunbelt in the USA and A-Plant in the UK is holding an investor event this afternoon and says that thanks to a strong fourth quarter, it expects to report a full year at the top end of expectations.

The group is aiming to achieve a market share in the US of around 15 percent, almost double its current position. In order to work towards this aim it will continue its strategy of combining greenfield start ups and same store expansion with bolt on acquisitions. A third of its locations have been open for less than three years and are expected to enhance future margins as they mature.

Chief executive Geoff Drabble said: "As the group has grown it has become larger and more diversified, and this will deliver higher returns and greater stability across the cycle. It does however lead to varying metrics relative to historical performance. It is important that these trends are better understood and to assist we have now added further granularity to our presentations."