Vp’s interim results for the six months ended 30 September 2012 show profit before tax and amortisation up 6% to £11.0m (H1 2012: £10.4m). Revenues of £84.0m were 2% ahead of last year (H1 2012: £82.7m).
During the six months, the company invested £12.6m in its equipment fleet.
Chairman Jeremy Pilkington said: "The group has delivered another extremely positive set of results despite continued unsettled market conditions. The strength of these figures highlight the benefit of Vp's well established strategy of focusing on specialist sectors where the Group enjoys strong market positions. We have continued to invest in our people, systems and fleet to ensure sustainable performance over the medium and long term."
Every business except Airpac Bukom, held or improved profits in the period. Profit margins rose to 13.0% (H1 2012: 12.5%)
Airpac Bukom saw a reduction in profits to £1.3m (2011: £2.0m) on revenues down by a similar amount to £9.6m. “Given the sporadic nature of LNG projects, these interruptions are unavoidable,” Mr Pilkington said.
Groundforce profits rose 19% to £4.1m on revenues up 11% to £18.2m.
UK Forks reported unchanged profits of £1.0m on revenues ahead at £7.0m (2011: £6.4m). UK Forks includes the plant business acquired from Balfour Beatty in July 2012, which has now been integrated and is trading in line with expectations, the company said.
Torrent Trackside posted an 18% improvement in profits at £1.7m on turnover ahead 4% at £10.5m.
TPA reported a 15% improvement in profit at £2.5m on a reduced revenue base of £9.5m (2011: £10.5m).
Hire Station profits were up 17% to £1.7m on revenues unchanged at £29m.
Mr Pilkington added: “We have for some time felt that the prospects of a general uplift in UK market activity supporting business growth was unlikely to be forthcoming. We have therefore adopted a relatively defensive stance in terms of protecting the balance sheet strength of the business whilst, where we have felt circumstances justified it, being bold enough to move on specific opportunities. Throughout, the group has continued to invest in our people, systems and fleet to ensure sustainable performance over the medium and long term.”
Vp results by segment
|
Revenue |
Operating Profit |
|||||
|
Sept 2012 |
Sept 2011 |
Sept 2012 |
Sept 2011 |
|||
|
Restated |
||||||
|
£000 |
£000 |
£000 |
£000 |
|||
|
18,197 |
16,461 |
4,123 |
3,453 |
|||
|
UK Forks |
7,022 |
6,446 |
957 |
1,014 |
||
|
Airpac Bukom |
9,560 |
10,269 |
1,315 |
2,048 |
||
|
Torrent Trackside |
10,452 |
10,007 |
1,709 |
1,447 |
||
|
TPA |
9,518 |
10,471 |
2,529 |
2,205 |
||
|
Hire Station |
29,272 |
29,093 |
1,698 |
1,457 |
||
|
84,021 |
82,747 |
12,331 |
11,624 |
|||
|
Amortisation |
(422) |
(317) |
||||
|
11,909 |
11,307 |
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