RNS Number : 6268W
Ashtead Technology Holdings plc
26 August 2025
26 August 2025
Ashtead Technology Holdings plc
("Ashtead Technology", the "Company" or the "Group")
Unaudited Half Year Results for the Six-Months Ended 30 June 2025
Strong profitability with robust market fundamentals underpinning medium and long-term confidence. Move to Main Market expected on 6 October
Ashtead Technology Holdings plc (AIM: AT.), a leading provider of subsea technology solutions to the global offshore energy sector, announces its unaudited results for the six months ended 30 June 2025 ("HY25" or "the period").
Financial Performance (£'m)
HY25
HY24
% Movement
Revenue
99.1
80.5
23.2%
Adjusted EBITA1
27.0
22.6
19.7%
Adjusted EBITA %
27.3%
28.1%
(81)bps
Operating profit
23.2
20.6
12.3%
Profit before tax
17.8
17.6
0.8%
Adjusted basic earnings per share2
21.9p
19.1p
14.5%
Basic earnings per share
17.2p
16.7p
3.0%
Return on Invested Capital (ROIC)3
24.2%
29.6%
(540)bps
Proforma Leverage4
1.6x
1.1x
0.5x
HY25 summary
· Revenue for the period increased by 23.2% to £99.1m
o 22.7% inorganic growth6
o -0.8% FX impact
o 1.3% organic growth
· Focus on high quality rental activities drove strong Adjusted EBITA margin performance of 27.3%
· Continued growth from both oil and gas (£73.7m of revenues) and renewables markets (£25.4m of revenues)
· Strong compounding adjusted EPS growth of 14.5%
· Net cash generated from operating activities of £21.1m, up from £9.7m in HY24
· ROIC significantly ahead of cost of capital at 24.2%
· Focus on deleveraging, targeting proforma net debt to Adjusted EBITDA leverage of 1.4x by end of FY25
Operational Highlights
· Integration of Seatronics and J2 Subsea acquisitions completed in November 2024 has delivered higher operational synergies quicker than initially expected
· Continuing to strengthen the business and investing in talent, technology and geographic diversification in preparation for continued growth:
o Senior leadership appointments made in Mechanical Solutions, IT and QHSE
o Capex investment in technology portfolio to strengthen market leading proposition
o Expansion of Mechanical Solutions offering in the US with the opening of a new facility in Houston primarily to localise and strengthen the Group's Lifting, Pulling and Deployment capabilities in the region
o Expanding Norwegian Survey and Robotics business trading ahead of expectations
Outlook
· Board expectations remain in line with those set out in the trading update of 17 July 2025
· Continued confidence in medium term outlook with Rystad Energy forecasting 8% CAGR in Ashtead Technology's total addressable market in the period 2024-2028
· Confidence underpinned by customers' significant backlogs
· Move from AIM to Main Market expected on 6 October 2025
Allan Pirie, Chief Executive Officer, said:
"The Group has continued to deliver strong profitability and year-on-year growth despite some market and geopolitical headwinds during the period. While this business environment somewhat tempered activity and led to a slower seasonal ramp up of revenues through Q2, we have been able to continue to strengthen our business, execute on our long-term strategy and focus on driving enhanced quality of earnings. Key projects delayed by our customers in HY25 have now mobilised giving us additional confidence in delivering growth in the second half. Globally, our customers continue to report sustained record backlogs supported by significant contract awards in the period. This, together with strong market fundamentals, underlines our confidence in the ongoing demand for Ashtead Technology's specialist technology solutions. We remain confident and committed to our long-term strategy for the business.
"Following our previous announcements and after extensive shareholder consultation, the Board is pleased to confirm its intention to move the Company's listing to the Main Market of the London Stock Exchange expected on 6 October 2025. The Board believes that the greater liquidity and broader access to international investors offered by the Main Market will provide an excellent platform for the next phase of Ashtead Technology's growth strategy implementation."
Presentation
Allan Pirie, Chief Executive Officer and Ingrid Stewart, Chief Financial Officer, will host an in-person presentation for analysts and institutional investors at 8.00am BST today.
A live webcast will also be available for those who wish to join the presentation virtually. Please contact ashteadtechnology@dgagroup.com to attend in person or to register for the webcast use the following link:
https://stream.brrmedia.co.uk/broadcast/68594d9f379f8200134f2459
A replay of the analyst presentation will subsequently be made available to watch on demand at www.ashtead-technology/investors.
-Ends-
For further information, please contact:
Ashtead Technology
(Via DGA Group)
Allan Pirie, Chief Executive Officer
Ingrid Stewart, Chief Financial Officer
Colin Ross, Chief Strategy & Marketing Officer
Deutsche Bank AG (Nomad and Joint Broker)
Tel: +44 (0)20 7260 1000
Julian Cater
George Price
Kevin Cruickshank (QE)
Peel Hunt (Joint Broker)
Edward Allsopp
Tel: +44 (0)20 7418 8900
Charlotte Sutcliffe
Tom Graham
DGA Group (Financial PR)
Jonathon Brill
Tel: +44 (0)7566 794 033
James Styles
ashteadtechnology@dgagroup.com
Fern Duncan
1Adjusted EBITA is defined as operating profit adjusted to add back amortisation, foreign exchange movements and non-trading items as shown in Note 19 of the HY25 accounts
2Adjusted Earnings per Share uses Adjusted profit after tax which is defined as profit after tax adjusted to add back amortisation, foreign exchange movements and non-trading items, and the tax impact thereof, as shown in Note 19 of the HY25 accounts
3Return on Invested Capital (ROIC) is defined as LTM5 Adjusted EBITA divided by Invested Capital. Invested Capital is defined as average net debt plus average equity over last 12 months. HY24 calculation restated from 6-months invested capital to 12 to align calculation with full year
4Proforma Leverage is defined as net debt divided by LTM Adjusted Proforma EBITDA
5LTM is defined as latest twelve months to 30 June 2025
6 Inorganic growth calculation inclusive of planned reduction in equipment sales within acquired business
Notes to editors:
Ashtead Technology is a leading subsea technology solutions provider to the global offshore energy sector. Ashtead Technology's specialist equipment, advanced-technologies and support services enable its customers to address the complex challenges of constructing, developing, inspecting, maintaining, repairing and decommissioning critical offshore energy infrastructure.
With a diverse portfolio and flexible delivery model, around 85% of Ashtead Technology's equipment fleet of over 30,000 assets are applicable across the lifecycle of both offshore oil and gas infrastructure and offshore renewables.
Headquartered in the UK, Ashtead Technology operates globally, servicing customers from its facilities located in key offshore energy hubs. To learn more, please visit www.ashtead-technology.com
CEO Statement
After an encouraging start to the year, Ashtead Technology experienced a slower seasonal ramp up in activity through Q2. This resulted in first half revenues being below our initial expectations for the period at £99.1m. In absolute terms, the business grew its revenue by 23.2% with the reduced revenue growth influenced by a number of external factors including the US administration's policies on tariffs and offshore wind development, military activity in the Middle East and US dollar FX movements. In addition, the Group proactively reduced its exposure to lower margin activities such as cross-hire and third-party equipment sales which were particularly prevalent within the Seatronics business acquired in November 2024.
Continued strength in market outlook
Despite the headwinds witnessed through HY25, the market fundamentals for our business remain strong. Key customer projects delayed and suspended through HY25 have now mobilised and our customers continue to report sustained, record project backlogs, and have secured significant contracts in the first half of the year. This underpins our confidence in the demand for Ashtead Technology's specialist services and solutions.
Ashtead Technology's addressable market is forecast to grow by an 8% CAGR in the period 2024 through 2028. Offshore oil and gas activity is forecast to grow by 4% with significant levels of activity in areas such as the Middle East, Norway and South America. Average annual sanctioned greenfield spend is expected to increase to $106bn during this period, while 48% of forecast subsea spend in 2028 is driven by projects that have already reached Final Investment Decision (FID) phase, providing a supportive market backdrop for many years to come.
The offshore wind market is forecast to grow at a 15% CAGR and the decommissioning market is forecast to grow at a 14% CAGR. HY25 has seen strong FID activity in offshore wind despite a challenging market environment, with Europe FID in 2025 YTD reaching 5.7GW, having already surpassed 2024 volumes. This market growth gives us confidence in the scale of the opportunity ahead and the attractive structural growth drivers in our end markets.
We continue to capitalise on the flexibility and fungibility of our specialist solutions, responding to customer demand in an agile way and using our global footprint to deploy our solutions in the areas of greatest market activity. This creates inherent resilience and means we can pivot our business quickly to support the full field lifecycle of subsea infrastructure.
M&A integrated at pace
The Seatronics and J2 Subsea businesses, which were acquired in late November 2024, have been rapidly integrated into the wider Group, delivering higher synergies, faster than anticipated at the time of the transaction. This demonstrates the Group's proven track record of successful M&A integration, validating our One Ashtead Technology approach.
Strengthening our differentiated offering
We continue to invest in our state of the art, fungible technology fleet, strengthen our geographic presence and focus on deepening our talent pool to enhance our competitive advantages and to better support our customers with their mission-critical subsea operations.
£19.4m of capex was deployed into the equipment rental fleet through HY25, adding cutting edge technologies to our Survey and Robotics service line as well as expanding our technology development programmes within our Mechanical Solutions and Asset Integrity service lines. Our FY25 capex spend is expected to be c.£35m.
In the period, the Group expanded its regional footprint, opening a new Mechanical Solutions facility in Houston which will serve as a hub for the expansion of our Mechanical Solutions service line in the Americas including localisation of the Group's Lifting, Pulling and Deployment capability in the region.
We continue to gain traction in Norway, capitalising on a buoyant market in the region. We have seen revenue more than double in our Norwegian business through HY25 and continue to position ourselves for further growth in this market.
Investing in talent has also been a feature of the first half of the year. In addition to investing in our technician pool including the recruitment of 14 new trainees globally as we continue to grow our own talent, we have made several new leadership appointments to strengthen our global business. Key appointments include the Head of Mechanical Solutions, QHSE Director and Chief Information Officer. Together, these roles will help to further strengthen our focus on safety, enhance our customer offering, drive growth and increase consistency and efficiency across the Group.
Move to the Main Market
Following our previous announcements, the Board is pleased to confirm its intention to move the Company's listing to the Main Market of the London Stock Exchange expected on 6 October 2025. Once complete, the Board believes that the greater liquidity and broader access to international investors offered by the Main Market will provide an excellent platform for the next phase of Ashtead Technology's growth strategy implementation.
Outlook
The macro and geopolitical volatility experienced through HY25 has created market headwinds which were reflected in the trading update provided in July. We remain confident in our ability to execute on our strategy and based on current trading levels and market outlook through the remainder of the year, we are confident of delivering an outturn in line with the Board's expectations.
Allan Pirie
Chief Executive Officer
CFO Statement
Our HY25 results were impacted by market headwinds created by geopolitical and economic uncertainties, and, after a solid Q1, we saw a slower seasonal ramp up in revenues in Q2. Our revenue in HY25 was £99.1m, a 23.2% increase on the prior year, with inorganic growth of 22.7%, FX headwinds of -0.8% and organic growth of 1.3%.
Revenue growth across all of our regions was supported by the acquisitions of Seatronics and J2 Subsea in November 2024 which added significant scale to our business. Whilst year-on-year growth within our Americas business was 15%, this region fell significantly short of expectations in HY25 due to a combination of the cessation of work on US offshore wind projects resulting from the new US administration's change in energy policy and the introduction of US tariffs which caused a pause in investment decisions and delayed decision making by operators and customers. Our other regions saw higher revenue growth on the prior year with Europe growing 17% and APAC growing 70%. The Middle East grew 44% despite a slight trading interruption in June as a result of military activity in the region.
A deliberate focus on quality of earnings saw a faster than expected reduction in third party equipment sales from the acquired Seatronics business. This contributed to the lower-than-expected revenues but supported a strong Group margin performance with an EBITDA margin of 38.7% and an EBITA margin of 27.3%.
Expenses
The Group has changed the presentation of expenses in its income statement to enhance the reader's understanding of the operations and performance of the Group through providing more relevant information on the face of the income statement.
External costs directly relating to revenue of £25.7m compares to £19.5m in HY24 with the increase being representative of the increased revenues in the period.
Staff costs of £27.5m represent 27.8% of revenues compares to £23.9m or 29.7% of revenues in HY24. Employee numbers at the end of June 2025 were 637 compared to 650 at December 2024 reflecting rationalisation of the employee base since the year end following the integration of Seatronics and J2 Subsea.
Other operating costs of £9.5m compares to £6.6m in HY24 with the largest increase coming from facility costs, insurance and IT costs commensurate with a larger business. Some of these costs are expected to reduce through the second half of the year as the synergies achieved through the Seatronics and J2 Subsea integration are fully realised.
Profitability
The Group achieved operating profit of £23.2m (HY24: £20.6m). This includes c. £0.6m of exceptional costs in the period, predominantly relating to acquisition integration and professional fees relating to the move from AIM to the Main Market.
Adjusted EBITA of £27.0m (HY24: £22.6m) represents an EBITA margin of 27.3% compared to 28.1% in HY24. The EBITA margin achieved through H1 was ahead of our expectations with the decrease on HY24 on a reported basis due to the impact of adding Seatronics and J2 Subsea into the Group.
ROIC remains significantly ahead of our cost of capital at 24.2% with the reduction since year end being the result of the increased invested capital owing to the timing of the Seatronics and J2 Subsea transaction.
Net finance costs of £5.4m compares to £3.0m in HY24 with the increase being the result of funding the Seatronics and J2 Subsea acquisitions entirely from RCF.
Adjusted Profit Before Tax of £21.6m compares to £19.6m in HY24, an increase of 10%.
The tax provision for the period was £3.9m (HY24: £4.3m) representing an effective tax rate of 22.0% (HY24: 24.2%), a decrease on prior year due to a higher proportion of profits being generated in lower tax jurisdictions.
Adjusted basic earnings per share of 21.9p compares to 19.1p in HY24, an increase of 14.5%.
Cash flow and balance sheet
Net cash generated from operating activities was £21.1m, up from £9.7m in HY24. Working capital represented 17% of proforma TTM (trailing twelve months) revenues compared to 14% at June 2024 and 16% at December 2024. Our increase in stock during the period follows a period of investment in our manipulator repair and cable moulding offerings which we acquired through the Seatronics and J2 Subsea transaction.
Overall net debt of £131.9m is higher than the prior year owing to funding of the Seatronics and J2 Subsea transaction and represents leverage of 1.6x on a proforma basis. With a disciplined focus on cash management, we anticipate that leverage will reduce to around 1.4x by year end.
Continued investment in our equipment fleet has resulted in an increase in fixed asset net book value (NBV) from £87.3m at FY24 to £95.9m. Overall net assets increased to £137.9m, up £10.5m on FY24.
Our full year dividend for 2024 was paid in May 2025 and in line with previous periods the Group's capital allocation policy remains unchanged with a focus on organic and inorganic investment in growth. Consistent with the prior year, the Board has not recommended an interim dividend for HY25. In line with previous guidance the Board intends to continue its small, progressive dividend policy.
Ingrid Stewart
Chief Financial Officer
RESPONSIBILITY STATEMENT OF THE DIRECTORS IN RESPECT OF THE
HALF-YEARLY FINANCIAL REPORT
The Directors of Ashtead Technology Holdings plc (set out on page 36 and 37 of the latest Annual Report and Accounts) confirm that to the best of their knowledge:
• the condensed consolidated set of financial statements have been prepared in accordance with IAS 34 Interim Financial Reporting as adopted for use in the UK;
• the interim management report includes a fair review of the information required by:
(i) DTR 4.2.7R of the Disclosure Guidance and Transparency Rules, being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed consolidated set of financial statements; and a description of the principal risks and uncertainties for the remaining six months of the year; and
(ii) DTR 4.2.8R of the Disclosure Guidance and Transparency Rules, being related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or performance of the entity during that period; and any changes in the related party transactions described in the last annual report that could do so.
By order of the Board of Directors
Allan Pirie
Ingrid Stewart
Chief Executive Officer
Chief Financial Officer
25 August 2025
25 August 2025
Consolidated income statement
for the six-month period ended 30 June 2025
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Revenue
2
99,135
80,452
168,044
External costs directly relating to revenue
2
(25,734)
(19,470)
(38,624)
Staff costs
2
(27,535)
(23,857)
(48,427)
Other operating costs
2
(9,541)
(6,648)
(16,379)
Depreciation
2, 6, 14
(11,377)
(8,839)
(19,125)
Amortisation of intangible assets
2, 7
(2,994)
(1,823)
(3,841)
Impairment loss on trade receivables
2
−
−
(927)
Other operating income
2
1,203
808
2,072
Operating profit
2
23,157
20,623
42,793
Finance income
3
39
83
193
Finance costs
3
(5,415)
(3,074)
(6,923)
Profit before taxation
17,781
17,632
36,063
Taxation charge
4
(3,912)
(4,271)
(7,285)
Profit for the financial period
13,869
13,361
28,778
Profit attributable to:
Equity shareholders of the Company
13,869
13,361
28,778
Earnings per share
Basic
5
17.2
16.7
35.9
Diluted
5
17.1
16.5
35.4
The below financial measures are Alternative Performance Measures used by management and are not an IFRS disclosure:
Adjusted EBITDA^
19
38,397
31,418
69,451
Adjusted EBITA^^
19
27,020
22,579
50,326
Adjusted Profit Before Tax^^^
19
21,644
19,588
43,596
Adjusted Profit After Tax^^^^
19
17,587
15,292
36,109
^ Adjusted EBITDA is calculated as earnings before interest, tax, depreciation, amortisation, foreign exchange gains and losses, and items considered one-off in nature, is an Alternative Profit Measure used by management and is not an IFRS disclosure. See Note 19 to the condensed consolidated interim financial statements for calculations.
^^ Adjusted EBITA is calculated as earnings before interest, tax, amortisation, foreign exchange gains and losses, and items considered one-off in nature, is an Alternative Profit Measure used by management and is not an IFRS disclosure. See Note 19 to the condensed consolidated interim financial statements for calculations.
^^^ Adjusted Profit Before Tax is calculated as profit before tax adjusted for amortisation, foreign exchange gains and losses, and items considered one-off in nature, is an Alternative Profit Measure used by management and is not an IFRS disclosure. See Note 19 to the condensed consolidated interim financial statements for calculations.
^^^^ Adjusted Profit After Tax is calculated as profit after tax adjusted for amortisation, foreign exchange gains and losses, and items considered one-off in nature, all adjusted for tax, is an Alternative Profit Measure used by management and is not an IFRS disclosure. See Note 19 to the condensed consolidated interim financial statements for calculations.
All results derive from continuing operations.
Consolidated statement of comprehensive income
for the six-month period ended 30 June 2025
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
£000
£000
£000
Profit for the period
13,869
13,361
28,778
Other comprehensive (loss)/income:
Items that may be reclassified subsequently to profit or loss
Exchange differences on translation of foreign operations
(2,884)
(118)
375
Other comprehensive (loss)/income for the period, net of tax
(2,884)
(118)
375
Total comprehensive income
10,985
13,243
29,153
Total comprehensive income attributable to:
Equity shareholders of the Company
10,985
13,243
29,153
Consolidated balance sheet
at 30 June 2025
Unaudited as at 30 June 2025
Unaudited as at 30 June 2024
Audited as at 31 December 2024
Notes
£000
£000
£000
Non-current assets
Property, plant and equipment
6
95,908
76,499
87,325
Goodwill
7
111,765
77,697
112,183
Intangible assets
7
31,960
15,886
34,954
Right-of-use assets
14
4,212
2,128
2,627
Deferred tax asset
272
52
272
244,117
172,262
237,361
Current assets
Inventories
8
13,034
4,630
7,766
Trade and other receivables
9
56,932
44,925
52,975
Income tax recoverable
421
223
2,333
Cash and cash equivalents
11,959
6,256
12,168
82,346
56,034
75,242
Assets classified as held for sale
10
−
−
1,000
Total assets
326,463
228,296
313,603
Current liabilities
Trade and other payables
11
33,660
29,815
33,680
Income tax payable
−
−
1,273
Loans and borrowings
12
−
20
9
Lease liabilities
14
1,450
970
1,129
35,110
30,805
36,091
Non-current liabilities
Loans and borrowings
12
139,390
75,909
137,669
Lease liabilities
14
3,042
1,313
1,716
Deferred tax liability
10,691
9,198
10,356
Provisions for liabilities
367
642
443
153,490
87,062
150,184
Total liabilities
188,600
117,867
186,275
Equity
Share capital
17
4,031
4,016
4,016
Share premium
17
14,115
14,115
14,115
Merger reserve
17
9,435
9,435
9,435
Share based payment reserve
17
4,271
3,230
3,612
Foreign currency translation reserve
17
(3,174)
(783)
(290)
Retained earnings
17
109,185
80,416
96,440
Total equity
137,863
110,429
127,328
Total equity and liabilities
326,463
228,296
313,603
Consolidated statement of changes in equity
for the six-month period ended 30 June 2025
Share capital
Share premium
Merger reserve
Share based payment reserve
Foreign currency translation reserve
Retained earnings
Total
£000
£000
£000
£000
£000
£000
£000
At 1 January 2024 audited
3,997
14,115
9,435
2,538
(665)
68,166
97,586
Profit for the period
−
−
−
−
−
13,361
13,361
Other comprehensive loss
−
−
−
−
(118)
−
(118)
Total comprehensive income
−
−
−
−
(118)
13,361
13,243
Share based payment charge
−
−
−
692
−
−
692
Tax on share based payment charge
−
−
−
−
−
(209)
(209)
Issue of shares
19
−
−
−
−
(19)
−
Dividends paid
−
−
−
−
−
(883)
(883)
At 30 June 2024 unaudited
4,016
14,115
9,435
3,230
(783)
80,416
110,429
Profit for the period
−
−
−
−
−
15,417
15,417
Other comprehensive income
−
−
−
−
493
−
493
Total comprehensive income
−
−
−
−
493
15,417
15,910
Share based payment charge
−
−
−
382
−
−
382
Tax on share based payment charge
−
−
−
−
−
607
607
At 31 December 2024 audited
4,016
14,115
9,435
3,612
(290)
96,440
127,328
Profit for the period
−
−
−
−
−
13,869
13,869
Other comprehensive loss
−
−
−
−
(2,884)
−
(2,884)
Total comprehensive income
−
−
−
−
(2,884)
13,869
10,985
Share based payment charge
−
−
−
659
−
−
659
Tax on share based payment charge
−
−
−
−
−
(144)
(144)
Issue of shares
15
−
−
−
−
(15)
−
Dividends paid
−
−
−
−
−
(965)
(965)
At 30 June 2025 unaudited
4,031
14,115
9,435
4,271
(3,174)
109,185
137,863
Consolidated cash flow statement
for the six-month period ended 30 June 2025
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Cash generated from operating activities
Profit before taxation
17,781
17,632
36,063
Adjustments to reconcile profit before taxation to net cash from operating activities
Finance income
3
(39)
(83)
(193)
Finance costs
3
5,415
3,074
6,923
Depreciation
6, 14
11,377
8,839
19,125
Amortisation of intangible assets
7
2,994
1,823
3,841
Gain on sale of property, plant and equipment
(1,203)
(807)
(2,072)
Share based payment charges
1,129
961
1,326
Provision for bad debts movement
−
−
779
Provision for liabilities movement
(63)
287
86
Cash generated before changes in working capital
37,391
31,726
65,878
Increase in inventories
(5,310)
(571)
(1,167)
Increase in trade and other receivables
(6,094)
(13,096)
(14,247)
Increase/(decrease) in trade and other payables
2,348
909
(3,947)
Cash inflow from operations
28,335
18,968
46,517
Interest paid
(4,908)
(2,837)
(6,380)
Tax paid
(2,335)
(6,410)
(10,020)
Net cash generated from operating activities
21,092
9,721
30,117
Cash flow used in investing activities
Purchase of property, plant and equipment
(20,484)
(16,611)
(29,388)
Proceeds from customer loss/damage of assets held for rental
2,552
1,227
2,955
Acquisition of subsidiary undertakings net of cash acquired
(1,272)
(3,897)
(67,056)
Proceeds on disposal of assets held for sale
550
−
−
Interest received
39
83
193
Net cash used in investing activities
(18,615)
(19,198)
(93,296)
Cash flow (used in)/generated from financing activities
Loans received
5,000
11,300
84,300
Transaction fees on loans received
−
(189)
(1,158)
Repayment of bank loans
(3,589)
(5,000)
(15,493)
Payment of lease liability
(1,054)
(772)
(1,428)
Payment of finance lease liability
(9)
(11)
(22)
Dividends paid
(965)
(883)
(883)
Net cash (used in)/generated from financing activities
(617)
4,445
65,316
Net increase/(decrease) in cash and cash equivalents
1,860
(5,032)
2,137
Cash and cash equivalents at beginning of the period
12,168
10,824
10,824
Net foreign exchange difference
(2,069)
464
(793)
Cash and cash equivalents at end of the period
11,959
6,256
12,168
Notes to the consolidated interim financial statements
1. General information
Background
Ashtead Technology Holdings plc (the "Company") is a public limited company incorporated in the United Kingdom under the Companies Act 2006, whose shares are traded on AIM. The condensed consolidated interim financial statements of the Company for the six-month period ended 30 June 2025 comprise the Company and its interest in subsidiaries (together referred to as the "Group"). The Company is domiciled in the United Kingdom and its registered address is C/O Amba Company Secretarial Services Limited, 4th Floor, One Kingdom Street, Paddington Central, London, W2 6BD, United Kingdom. The Company registration number is 13424040.
Basis of preparation
The annual consolidated financial statements of Ashtead Technology Holdings plc will be prepared in accordance with UK-adopted International Accounting Standards. These condensed consolidated interim financial statements for the six-month period ended 30 June 2025 have been prepared in accordance with UK adopted International Accounting Standard ("IAS") 34, 'Interim Financial Reporting' and the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.
The financial information for the six-month period ended 30 June 2025 is unaudited. It does not constitute statutory financial statements within the meaning of Section 434 of the Companies Act 2006. This report should be read in conjunction with the Group's Annual Report and Accounts as at and for the year ended 31 December 2024 ("last Annual Report and Accounts"), which were prepared in accordance with UK-adopted International Accounting Standards. The last Annual Report and Accounts have been filed with the Registrar of Companies and are available from the Group's website (www.ashtead-technology.com). The auditors' report on those accounts was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.
The condensed consolidated interim financial statements unless otherwise stated are presented in sterling, to the nearest thousand. The functional currency of the Group is sterling.
The condensed consolidated interim financial statements were approved by the Board of Directors on 25 August 2025.
Accounting policies
The condensed consolidated interim financial statements have been prepared in accordance with the accounting policies set out on pages 81-87 of the last Annual Report and Accounts.
Taxation
Tax on income in the interim periods are accrued using management's best estimate of the weighted average annual tax rate that would be applicable to expected total annual earnings.
Change of accounting policy
Management decided to change the presentation of expenses in the income statement from by function to by nature. This change has been applied retrospectively, and the comparative period Income Statements have been restated. This change in presentation has been made to enhance the reader's understanding of the operations and performance of the Group through providing more relevant information on the face of the income statement that will allow the user to analyse cost movements year on year and the key drivers that affect the Group's profit or loss each year. There is no change in the comparative amount for revenue or operating profit as disclosed in the 2024 annual report and financial statements or unaudited half year results for the six-months ended 30 June 2024 due to the change in accounting policy.
Critical accounting judgements and estimates
In preparing these condensed consolidated interim financial statements, management has made judgements, estimates and assumptions that affect the application of the accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to estimates are recognised prospectively.
The areas of judgement and estimate which have the greatest potential effect on the amounts recognised in these financial statements are the provision for bad debts and inventory provision. This is consistent with matters disclosed on pages 86-77 of the last Annual Report and Accounts.
Standards, amendments, and interpretations not yet effective
A number of amendments and interpretations have been issued which are not expected to have any significant impact on the accounting policies and reporting.
Standards and amendments effective for the period
There are no new or amended standards or interpretations from 1 January 2025 onwards that have a significant impact on the accounting policies and reporting.
Going concern
These condensed consolidated financial statements of the Group are prepared on a going concern basis. The Directors of the Group assert that the preparation of the condensed consolidated financial statements on a going concern basis is appropriate, which is based upon a review of the future forecast performance of the Group for an eighteen-month period ending 31 December 2026.
During the six months ended 30 June 2025 the Group has continued to generate positive cash flow from operating activities, has a cash and cash equivalents balance of £11,959,000 at 30 June 2025 (31 December 2024: £12,168,000) and access to a multi currency RCF with total commitments of £170,000,000. In addition, the Group has the ability to call upon an additional accordion facility of £40,000,000 subject to credit approval. The RCF and accordion facility expire in April 2028. As at 30 June 2025 the RCF had an undrawn balance of £29,271,000 and the £40,000,000 accordion facility was undrawn.
The Facility Agreement is subject to a leverage covenant of 3.0x and an interest cover covenant of 4:1, which are both to be tested on a quarterly basis. The Group has complied with all covenants from entering the Facility Agreement until the date of these financial statements.
The Group monitors its funding and liquidity position throughout the period to ensure it has sufficient funds to meet its ongoing cash requirements. Cash forecasts are produced based on a number of inputs such as estimated revenues, margins, overheads, collection and payment terms, capex requirements and the payment of interest and capital on its existing debt facilities. Consideration is also given to the availability of bank facilities. In preparing these forecasts, the Directors have considered the principal risks and uncertainties to which the business is exposed.
Taking account of reasonable changes in trading performance and bank facilities available, the application of severe but plausible downside scenarios to the forecasts, the cash forecasts prepared by management and reviewed by the Directors indicate that the Group is cash generative and has adequate financial resources to continue to trade for the foreseeable future and to meet its obligations as they fall due.
2. Segmental analysis
The Chief Operating Decision Maker (CODM) is determined as the Group's Board of Directors. The Group's Board of Directors reviews the internal management reports of each geographic region monthly as part of the monthly management reporting. The operations within each of the regional segments display similar economic characteristics. There are no reportable segments which have been aggregated for the purpose of the disclosure of segment information.
The Group operates in the following four geographic regions, which have been determined as the Group's reportable segments. The operations of each geographic region are similar.
· Europe
· Americas
· Asia-Pacific
· Middle East
Unaudited for the six-month period ended 30 June 2025
Europe
Americas
Asia Pacific
Middle East
Head Office
Total
£000
£000
£000
£000
£000
£000
Total revenue
65,585
14,146
11,617
7,787
-
99,135
External costs directly relating to revenue
(15,206)
(5,201)
(3,833)
(1,494)
-
(25,734)
Staff costs
(16,639)
(4,000)
(1,665)
(1,273)
(3,958)
(27,535)
Other operating costs*
(5,239)
(1,244)
(682)
(530)
(1,560)
(9,255)
Other operating income**
916 --------
135 --------
123 --------
29 --------
- --------
1,203 --------
Operating profit before depreciation, amortisation and foreign exchange gain/(loss)
29,417
3,836
5,560
4,519
(5,518)
37,814
Foreign exchange gain/(loss)
718
(907)
(525)
(1,032)
1,460
(286)
Depreciation
(8,065)
(1,456)
(1,162)
(620)
(74)
(11,377)
Amortisation of intangible assets
(2,778) --------
(110) --------
(73) --------
(33) --------
- --------
(2,994) --------
Operating profit Finance income Finance costs
19,292
1,363
3,800
2,834
(4,132)
23,157 39 (5,415) --------
Profit before taxation Taxation charge
17,781 (3,912) --------
Profit for the financial period
13,869 --------
Total assets
248,563
30,467
20,620
13,180
13,633
326,463
Total liabilities
29,723
5,428
4,276
1,772
147,401
188,600
Unaudited for the six-month period ended 30 June 2024
Europe
Americas
Asia Pacific
Middle East
Head Office
Total
£000
£000
£000
£000
£000
£000
Total revenue
55,969
12,256
6,831
5,396
-
80,452
External costs directly relating to revenue
(12,806)
(3,841)
(1,402)
(1,421)
-
(19,470)
Staff costs
(14,887)
(2,947)
(1,314)
(881)
(3,828)
(23,857)
Other operating costs*
(3,595)
(839)
(322)
(225)
(1,637)
(6,618)
Other operating income**
482 --------
177 --------
70 --------
79 --------
- --------
808 --------
Operating profit before depreciation, amortisation and foreign exchange gain/(loss)
25,163
4,806
3,863
2,948
(5,465)
31,315
Foreign exchange gain/(loss)
62
(38)
(4)
(65)
15
(30)
Depreciation
(6,500)
(1,102)
(667)
(493)
(77)
(8,839)
Amortisation of intangible assets
(1,823) --------
- --------
- --------
- --------
- --------
(1,823) --------
Operating profit Finance income Finance costs
16,902
3,666
3,192
2,390
(5,527)
20,623 83 (3,074) --------
Profit before taxation Taxation charge
17,632 (4,271) --------
Profit for the financial period
13,361 --------
Total assets
176,080
21,842
12,347
10,507
7,520
228,296
Total liabilities
27,535
4,897
1,722
1,071
82,642
117,867
* Excluding foreign exchange gain/(loss)
** Other operating income relates to the gain on sale of property, plant and equipment and arises from compensation from third parties for items of property, plant and equipment that were lost, given up or damaged beyond repair by customers. The gross compensation proceeds are disclosed in the consolidated cash flow statement.
Audited for the year ended 31 December 2024
Europe
Americas
Asia Pacific
Middle East
Head Office
Total
£000
£000
£000
£000
£000
£000
Total revenue
114,295
25,765
15,628
12,356
-
168,044
External costs directly relating to revenue
(22,775)
(8,662)
(3,773)
(3,414)
-
(38,624)
Staff costs
(30,454)
(5,990)
(2,473)
(2,040)
(7,470)
(48,427)
Other operating costs*
(8,610)
(2,658)
(1,401)
(792)
(3,574)
(17,035)
Other operating income**
1,089 --------
403 --------
324 --------
256 --------
- --------
2,072 --------
Operating profit before depreciation, amortisation and foreign exchange gain/(loss)
53,545
8,858
8,305
6,366
(11,044)
66,030
Foreign exchange (loss)/gain
(432)
45
38
66
12
(271)
Depreciation
(14,108)
(2,384)
(1,419)
(1,074)
(140)
(19,125)
Amortisation of intangible assets
(3,805) --------
(18) --------
(12) --------
(6) --------
- --------
(3,841) --------
Operating profit Finance income Finance costs
35,200
6,501
6,912
5,352
(11,172)
42,793 193 (6,923) --------
Profit before taxation Taxation charge
36,063 (7,285) --------
Profit for the financial period
28,778 --------
Total assets
245,525
24,799
16,452
13,154
13,673
313,603
Total liabilities
28,673
5,143
3,942
1,919
146,598
186,275
* Excluding foreign exchange gain/(loss)
** Other operating income relates to the gain on sale of property, plant and equipment and arises from compensation from third parties for items of property, plant and equipment that were lost, given up or damaged beyond repair by customers. The gross compensation proceeds are disclosed in the consolidated cash flow statement.
Central administrative expenses represent expenditures which are not directly attributable to any single operating segment. The expenditure has not been allocated to individual operating segments.
The revenues generated by each geographic segment almost entirely comprise revenues generated in a single country. Revenues in the Europe, Americas, Asia Pacific and Middle East segments are almost entirely generated in the UK, USA, Singapore and UAE respectively. Revenues generated outside of these jurisdictions are not material to the Group. The basis for the allocation of revenues to individual countries is dependent upon the facility from which the equipment is provided.
No single customer or group of customers under common control account for 15% or more of Group revenue.
The carrying value of non-current assets, other than deferred tax assets, split by the country in which the assets are held is as follows:
Unaudited as at 30 June 2025
Unaudited as at 30 June 2024
Audited as at 31 December 2024
£000
£000
£000
UK
201,378
142,128
204,805
USA
20,954
14,596
14,709
Singapore
13,959
8,664
10,589
UAE
7,554
6,822
6,986
3. Finance income and costs
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Finance income
£000
£000
£000
Bank interest receivable
39
83
193
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Finance costs
£000
£000
£000
Interest on bank loans (held at amortised cost)
4,908
2,788
6,275
Amortisation of deferred finance costs
383
171
445
Interest expense on lease liability (Note 14)
124
60
131
Other interest and charges
-
55
72
5,415
3,074
6,923
4. Tax
The tax expense for the six-month period ended 30 June 2025 is based upon management's best estimate of the weighted average annual tax rate expected for each jurisdiction for the full year ending 31 December 2025 applied to the profit before tax for the interim period. The effective tax rate for the six-month period ended 30 June 2025 is 22.0% and the income tax expense is lower than the standard UK rate of 25% for the period due to lower tax rates in overseas jurisdictions. The effective tax rate for the year ended 31 December 2024 was 20.2% and the income tax expense was lower than the standard UK rate of 25% during 2024 due to lower tax rates in overseas jurisdictions.
5. Earnings per share
Basic earnings per share
Basic earnings per share is calculated by dividing the earnings attributable to ordinary shareholders by the weighted average number of Ordinary Shares in issue during the period.
Diluted earnings per share
For diluted earnings per share, the weighted average number of Ordinary Shares in issue is adjusted to assume conversion of all potentially dilutive Ordinary Shares. The Group has potentially dilutive Ordinary Shares arising from share options granted to employees under the share schemes as detailed in Note 16 of these condensed consolidated interim financial statements.
Adjusted earnings per share
Earnings attributable to ordinary shareholders of the Group for the period, adjusted to remove the impact of adjusting items and the tax impact of these, divided by the weighted average number of Ordinary Shares outstanding during the period.
Unaudited Adjusted Six months to 30 June 2025
Unaudited Statutory Six months to 30 June 2025
Unaudited Adjusted Six months to 30 June 2024
Unaudited Statutory Six months to 30 June 2024
Audited Adjusted Year ended 31 December 2024
Audited Statutory Year ended 31 December 2024
Earnings attributable to equity shareholders of the Group:
Profit for the period (£000)
17,587*
13,869
15,292*
13,361
36,109*
28,778
Number of shares:
Weighted average number of Ordinary Shares at period end
80,480,162
80,480,162
80,098,710
80,098,710
80,206,862
80,206,862
Add dilutive effect of share based payment plans
638,877
638,877
1,112,794
1,112,794
1,038,979
1,038,979
Weighted average number of Ordinary Shares for calculating diluted earnings per share at period end
81,119,039
81,119,039
81,211,504
81,211,504
81,245,841
81,245,841
Earnings per share attributable to equity holders of the Group - continuing operations:
Basic earnings per share (pence)
21.9
17.2
19.1
16.7
45.0
35.9
Diluted earnings per share (pence)
21.7
17.1
18.8
16.5
44.4
35.4
* Refer to Note 19 for the reconciliation of Alternative Performance Measures.
6. Property, plant and equipment
Assets held for rental
Assets under construction
Leasehold improvements
Freehold property
Fixtures and fittings
Motor vehicles
Total
£000
£000
£000
£000
£000
£000
£000
Cost:
At 1 January 2024 audited
160,662
506
2,180
3,144
5,467
376
172,335
Additions
15,201
1,168
−
249
246
−
16,864
Disposals
(2,150)
-
−
−
(102)
(21)
(2,273)
Foreign exchange movements
(1,357)
-
(14)
114
(1)
(10)
(1,268)
At 30 June 2024 unaudited
172,356
1,674
2,166
3,507
5,610
345
185,658
Acquisitions
7,327
−
34
−
49
−
7,410
Fair value adjustment on acquisitions
364
−
(15)
−
62
−
411
Additions
9,765
2,295
350
−
586
-
12,996
Transfer
1,063
(1,063)
−
−
−
−
−
Disposals
(3,743)
-
(541)
-
(415)
(74)
(4,773)
Reclass to assets classified for sale
(377)
-
-
-
-
-
(377)
Foreign exchange movements
1,385
-
5
1
(21)
4
1,374
At 31 December 2024 audited
188,140
2,906
1,999
3,508
5,871
275
202,699
Additions
19,439
751
134
-
404
-
20,728
Disposals
(22,420)
-
(354)
-
(2,039)
-
(24,813)
Transfer
3,463
(3,463)
-
-
-
-
-
Foreign exchange movements
(3,264)
-
(20)
-
(110)
(12)
(3,406)
At 30 June 2025 unaudited
185,358
194
1,759
3,508
4,126
263
195,208
Accumulated depreciation:
At 1 January 2024 audited
(97,656)
-
(1,831)
(101)
(3,773)
(267)
(103,628)
Charge for the period
(7,563)
-
(79)
(20)
(510)
(23)
(8,195)
Disposals
1,849
-
-
-
97
21
1,967
Foreign exchange movements
666
-
12
17
(1)
3
697
At 30 June 2024 unaudited
(102,704)
-
(1,898)
(104)
(4,187)
(266)
(109,159)
Charge for the period
(9,348)
-
(54)
(45)
(192)
(16)
(9,655)
Disposals
3,228
-
540
-
401
74
4,243
Foreign exchange movements
(719)
-
(30)
22
(66)
(10)
(803)
At 31 December 2024 audited
(109,543)
-
(1,442)
(127)
(4,044)
(218)
(115,374)
Charge for the period
(9,927)
-
(111)
(28)
(297)
(30)
(10,393)
Disposals
21,457
-
355
-
2,043
-
23,855
Foreign exchange movements
2,509
-
13
-
73
17
2,612
At 30 June 2025 unaudited
(95,504)
-
(1,185)
(155)
(2,225)
(231)
99,300
Net book value:
At 31 December 2023 audited
63,006
506
349
3,043
1,694
109
68,707
At 30 June 2024 unaudited
69,652
1,674
268
3,403
1,423
79
76,499
At 31 December 2024 audited
78,597
2,906
557
3,381
1,827
57
87,325
At 30 June 2025 unaudited
89,854
194
574
3,353
1,901
32
95,908
7. Goodwill and intangible assets
Goodwill £000
Customer relationships £000
Trade name £000
Non-compete arrangements £000
Documented processes £000
Computer software £000
Total £000
Cost: At 1 January 2024 audited
77,739
17,366
544
4,616
1,377
2,647
104,289
Foreign exchange movements
(42)
−
−
−
−
−
(42)
At 30 June 2024 unaudited
77,697
17,366
544
4,616
1,377
2,647
104,247
Acquisitions
34,426
21,086
−
−
−
−
55,512
Disposals
−
−
−
−
−
(2,634)
(2,634)
Foreign exchange movements
60
−
−
−
−
(5)
55
At 31 December 2024 audited
112,183
38,452
544
4,616
1,377
8
157,180
Foreign exchange movements
(418)
−
−
−
−
−
(418)
At 30 June 2025 unaudited
111,765
38,452
544
4,616
1,377
8
156,762
Amortisation:
At 1 January 2024 audited
−
(5,784)
(23)
(376)
(11)
(2,647)
(8,841)
Charge for the period
−
(1,159)
(136)
(459)
(69)
−
(1,823)
At 30 June 2024 unaudited
−
(6,943)
(159)
(835)
(80)
(2,647)
(10,664)
Charge for the period
−
(1,355)
(136)
(459)
(68)
−
(2,018)
Disposals
−
−
−
−
−
2,634
2,634
Foreign exchange movements
−
−
−
−
−
5
5
At 31 December 2024 audited
−
(8,298)
(295)
(1,294)
(148)
(8)
(10,043)
Charge for the period
−
(2,330)
(136)
(459)
(69)
−
(2,994)
At 30 June 2025 unaudited
−
(10,628)
(431)
(1,753)
(217)
(8)
(13,037)
Net book value:
At 31 December 2023 audited
77,739
11,582
521
4,240
1,366
−
95,448
At 30 June 2024 unaudited
77,697
10,423
385
3,781
1,297
−
93,583
At 31 December 2024 audited
112,183
30,154
249
3,322
1,229
−
147,137
At 30 June 2025 unaudited
111,765
27,824
113
2,863
1,160
−
143,725
Goodwill has arisen on the acquisition of the following subsidiaries: Amazon Group Limited (the parent company of the existing Ashtead Technology Group at the time of acquisition in April 2016), TES Survey Equipment Services LLC, Welaptega Marine Limited, Aqua-Tech Solutions LLC and its subsidiary Alpha Subsea LLC, Underwater Cutting Solutions Limited, WeSubsea AS and its subsidiary WeSubsea UK Limited, Hiretech Limited, Rathmay Limited and its subsidiaries Alfred Cheyne Engineering Limited, ACE Winches Inc, ACE Winches DMCC and ACE Winches Norge AS and Seascan Limited and J2 Subsea Limited and their subsidiaries Geoscan Group Limited, Seatronics Inc, Seatronics PTE Limited and Seatronics Limited, as well as the acquisition of the trade and assets of Forum Subsea Rentals, a division of Forum Energy Technologies (UK) Limited, Forum Energy Asia Pacific PTE Ltd and Forum US, Inc.
The Group tests annually for impairment, or more frequently if there are indicators that goodwill might be impaired.
For each of the operating segments to which goodwill has been allocated, the recoverable amount has been determined on the basis of a value in use calculation. In each case, the value in use was found to be greater than the carrying amount of the group of CGUs to which the goodwill has been allocated. Accordingly, no impairment to goodwill has been recognised. The value in use has been determined by discounting future cash flows forecast to be generated by the relevant regional segment. The key assumptions on which management has based its cash flow projections are the same as those used in the last Annual Report and Accounts.
8. Inventories
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Raw materials and consumables
13,034
4,630
7,766
The cost of inventories recognised as an expense and included in cost of sales during the period was £4,963,000 (H1 2024: £4,657,000). The impairment gain recognised as an expense during the period was £13,000 (H1 2024: £3,000 gain).
9. Trade and other receivables
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Trade receivables
46,828
31,758
46,330
Prepayments
7,227
4,048
4,933
Contract assets
310
−
356
Accrued income
2,567
9,119
1,356
56,932
44,925
52,975
The Directors consider that the carrying amount of trade receivable and accrued income approximates to fair value. The impairment gain recognised in the income statement during the period was £610,000 (H1 2024: £14,000 gain).
10. Assets classified as held for sale
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Current
−
−
623
Non-current
−
−
377
−
−
1,000
At 31 December 2024, all assets classified as held for sale relate to the Europe CGU. The current assets classified as held for sale relate to inventory and the non-current assets classified as held for sale relate to assets held for rental within property, plant and equipment. Management assessed it was highly probable that the assets classified as held for sale would be sold and the sale of the assets completed on 31 January 2025. During the period ended 30 June 2025, proceeds on disposal of assets held for sale of £550,000 were recognised in the cash flow statement and additional proceeds of £450,000 are due to be received before 31 December 2025. No gain or loss has been recognised in the income statement for the period ended 30 June 2025.
11. Trade and other payables
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Trade payables
11,705
10,258
10,039
Contract liabilities
672
−
−
Accruals
21,283
19,557
23,641
33,660
29,815
33,680
The Directors consider that the carrying amount of trade payable and accruals equates to fair value.
12. Loans and borrowings
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
Current
£000
£000
£000
Bank loans (held at amortised cost)
−
−
−
Finance lease liability
−
20
9
−
20
9
Non-current
Bank loans (held at amortised cost)
139,390
75,909
137,669
At 30 June 2025 the bank loans comprise a revolving credit facility of £140,729,000 (H1 2024: £76,937,000) (of which £729,000 is denominated in USD (H1 2024: £3,937,000)) which during the period carried interest at SONIA plus 2.5%. The interest margin fluctuates between 2.25% and 3.25% depending on leverage. The lenders are ABN AMRO Bank N.V., Citibank N.A., Clydesdale Bank plc, HSBC Bank plc and The Royal Bank of Scotland plc. The Facility Agreement is subject to a leverage covenant of 3.0x and an interest cover covenant of 4:1. The total commitments are £170,000,000 for the RCF with an additional £40,000,000 accordion facility available subject to credit approval. As at 30 June 2025 the RCF had an undrawn balance of £29,271,000 (H1 2024: £23,063,000) and the £40,000,000 accordion facility was undrawn (H1 2024: £50,000,000). A non-utilisation fee representing 35% of the applicable margin (being 0.875% during the period) is charged on the non-utilised element of the RCF facility. The revolving credit facility is fully repayable by April 2028.
Certain companies within the Group are party to cross guarantees with respect to bank loans totalling £140,729,000 (H1 2024: £76,937,000) advanced to Ashtead Technology Limited and Ashtead Technology Offshore Inc. The lenders have a floating charge over the assets of certain entities within the Group.
At 30 June 2025 the finance lease liability of £nil (H1 2024: £20,000) relates to the financing of certain IT equipment and carried interest at a fixed rate of 6.67%. The lender is Wesleyan Bank and was repaid in full in May 2025.
Bank loans are repayable as follows:
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Within one year
−
−
−
Within one to two years
−
−
−
Within two to three years
140,729
−
−
Within three to four years
−
76,937
139,391
Within four to five years
−
−
−
140,729
76,937
139,391
Deferred finance costs
(1,339)
(1,028)
(1,722)
139,390
75,909
137,669
Finance lease liability is repayable as follows:
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Within one year
−
20
9
13. Financing liabilities reconciliation
14.
Audited 1 January 2024
Cash flows
Interest paid / (received)
Other non-cash changes
Changes in exchange rates
Unaudited 30 June 2024
£000
£000
£000
£000
£000
£000
Cash at bank and in hand
10,824
(5,033)
(29)
29
465
6,256
Bank loans
(69,665)
(6,111)
2,782
(2,953)
38
(75,909)
Lease liabilities
(2,810)
772
60
(322)
17
(2,283)
Finance lease liability
(31)
11
1
(1)
-
(20)
Net debt
(61,682)
(10,361)
2,814
(3,247)
520
(71,956)
The non-cash movement relates to the amortisation of deferred finance costs, accrual of finance costs on lease liability and the addition of new leases during the period.
Unaudited 30 June 2024
Cash flows
Acquisitions
Interest paid / (received)
Other non-cash changes
Changes in exchange rates
Audited 31 December 2024
£000
£000
£000
£000
£000
£000
£000
Cash at bank and in hand
6,256
5,015
2,156
(92)
92
(1,259)
12,168
Bank loans
(75,909)
(61,538)
−
3,526
(3,800)
52
(137,669)
Lease liabilities
(2,283)
656
(390)
71
(647)
(252)
(2,845)
Finance lease liability
(20)
11
−
(1)
1
-
(9)
Net debt
(71,956)
(55,856)
1,766
3,504
(4,354)
(1,459)
(128,355)
The non-cash movement relates to the amortisation of deferred finance costs, accrual of finance costs on lease liability and the addition of new leases during the period.
Audited 31 December 2024
Cash flows
Interest paid / (received)
Other non-cash changes
Changes in exchange rates
Unaudited 30 June 2025
£000
£000
£000
£000
£000
£000
Cash at bank and in hand
12,168
1,861
(162)
162
(2,070)
11,959
Bank loans
(137,669)
(1,411)
4,907
(5,290)
73
(139,390)
Lease liabilities
(2,845)
1,054
124
(2,581)
(244)
(4,492)
Finance lease liability
(9)
9
-
-
-
-
Net debt
(128,355)
1,513
4,869
(7,709)
(2,241)
(131,923)
The non-cash movement relates to the amortisation of deferred finance costs, accrual of finance costs on lease liability and the addition of new leases during the period.
14. Leases
Leases as lessee
The Group leases warehouses, offices, and other facilities in different locations (UK, UAE, Singapore, Canada, USA, Norway). The lease terms range from 2 to 15 years with an option to renew available for some of the leases. The Group has elected not to recognise right-of-use assets and lease liabilities for leases that are short-term and/or of low-value items. The Group recognises the lease payments associated with these leases as an expense on a straight-line basis over the lease term.
Further information about leases is presented below:
a) Amounts recognised in consolidated balance sheet
Right-of-use assets
£000
Balance at 1 January 2024 audited
2,584
Additions to right-of-use assets
202
Depreciation charge for the period
(644)
Effects of movements in exchange rates
(14) ------
Balance at 30 June 2024 unaudited
2,128 ------
Additions to right-of-use assets
767
Acquisition of right-of-use assets
390
Depreciation charge for the period
(631)
Effects of movements in exchange rates
(27) ------
Balance at 31 December 2024 audited
2,627 ------
Additions to right-of-use assets
2,824
Depreciation charge for the period
(984)
Effects of movements in exchange rates
(255) ------
Balance at 30 June 2025 unaudited
4,212 ------
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
Lease liabilities:
£000
£000
£000
Current
1,450
970
1,129
Non-current
3,042
1,313
1,716
Total lease liabilities
4,492
2,283
2,845
b) Amounts recognised in the income statement
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
£000
£000
£000
Depreciation charge
984
644
1,275
Interest expense on lease liability
124
60
131
Expenses relating to short-term leases
217
154
475
Total amount recognised in the income statement
1,325
858
1,881
c) Amounts recognised in the cash flow statement
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
£000
£000
£000
Total cash payments for leases
1,178
832
1,558
15. Capital commitments
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
£000
£000
£000
Capital expenditure contracted for but not provided
9,646
11,806
3,947
16. Share based payments
The IPO LTIP awards were granted on 5 September 2022 and comprise three equal tranches, with the first tranche vested on the announcement of the annual results for the year ended 31 December 2022, the second tranche vested on the announcement of the annual results for the year ended 31 December 2023 and the third tranche vested on the announcement of the annual results for the year ended 31 December 2024. Certain senior managers from various Group companies are eligible for nil cost share option awards with Ashtead Technology Holdings plc granting the awards. On exercise, the awards will be equity settled with Ordinary Shares in Ashtead Technology Holdings plc. The IPO LTIP share awards vesting is subject to the achievement of a target annual Adjusted EPS and participants remaining employed by the Group over the vesting period.
The outstanding number of IPO LTIP awards at 30 June 2025 is 242,458 (30 June 2024: 378,279).
Share based payments
Tranche 1
Tranche 2
Tranche 3
Valuation model
Black-Scholes
Black-Scholes
Black-Scholes
Weighted average share price (pence)
260.5
260.5
260.5
Exercise price (pence)
0
0
0
Expected dividend yield
0.76%
0.81%
0.85%
Expected volatility
41.93%
41.93%
41.93%
Risk-free interest rate
2.79%
3.14%
3.04%
Expected term (years)
0.67
1.67
2.67
Weighted average fair value (pence)
259.2
257.0
254.7
Attrition
5%
5%
5%
Weighted average remaining contractual life (years)
7.17
7.17
7.17
The expected volatility has been calculated using the Group's historical market data history since IPO in 2021.
Share based payments
Number of shares
Weighted average exercise price (£)
Outstanding at beginning of the period
310,358
−
Granted
−
−
Exercised
(67,900)
£5.412
Forfeited
−
−
Outstanding at the end of the period
242,458
−
Exercisable at the end of the period
242,458
−
Share-based payments expense recognised in the consolidated income statement during the period was £234,000 (H1 2024: £488,000), inclusive of employer's national insurance contributions of £121,000 (H1 2024: £123,000).
2023 LTIP awards
The first 2023 LTIP scheme awards were granted on 4 May 2023, with vesting on the announcement of the annual results for the year ended 31 December 2025. Certain senior managers from various Group companies are eligible for nil cost share option awards with Ashtead Technology Holdings plc granting the awards and on exercise, the awards will be equity settled with Ordinary Shares in Ashtead Technology Holdings plc. The share awards vesting is subject to the achievement of agreed Adjusted EPS, ROIC and Total Shareholder Return (TSR) targets and participants remaining employed by the Group over the vesting period. On 16 April 2024 new awards were granted under the 2023 LTIP scheme and will vest on the announcement of the annual results for the year ended 31 December 2026.
The outstanding number of awards at 30 June 2025 is 624,031 (30 June 2024: 664,605).
Share based payments
EPS
ROIC
TSR
Valuation model
Black-Scholes
Black-Scholes
Monte Carlo
Weighted average share price (pence)
379.0 / 687.0
379.0 / 687.0
379.0 / 687.0
Exercise price (pence)
0
0
0
Expected dividend yield
0.0%
0.0%
0.0%
Expected volatility
40.17% / 39.01%
40.17% / 39.01%
40.17% / 39.01%
Risk-free interest rate
3.71% / 4.31%
3.71% / 4.31%
3.71% / 4.31%
Expected term (years)
3.02 / 3.06
3.02 / 3.06
3.02 / 3.06
Weighted average fair value (pence)
379.0 / 687.0
379.0 / 687.0
298.0 / 544.0
Attrition
5%
5%
5%
Weighted average remaining contractual life (years)
7.84 / 8.79
7.84 / 8.79
7.84 / 8.79
The expected volatility has been calculated using the Group's historical market data history since IPO in 2021.
Share based payments
Number of shares
Weighted average exercise price (£)
Outstanding at beginning of the period
624,031
−
Granted
−
−
Exercised
−
−
Forfeited
−
−
Outstanding at the end of the period
624,031
−
Exercisable at the end of the period
−
−
Share-based payments expense recognised in the consolidated income statement during the period was £895,000 (H1 2024: £473,000), inclusive of employer's national insurance contributions of £349,000 (H1 2024: £115,000).
17. Share capital and reserves
The Group considers its capital to comprise its called up share capital, share premium, merger reserve, share based payment reserve, retained earnings and foreign exchange translation reserve. Quantitative detail is shown in the consolidated statement of changes in equity. The Directors' objective when managing capital is to safeguard the Group's ability to continue as a going concern in order to provide returns for the shareholders and benefits for other stakeholders.
Called up share capital
Unaudited 30 June 2025
Unaudited 30 June 2024
Audited 31 December 2024
Allotted, called up and fully paid
No.
£000
No.
£000
No.
£000
Ordinary shares of £0.05 each
80,624,196
4,031
80,313,838
4,016
80,313,838
4,016
4,031
4,016
4,016
Ordinary share capital represents the number of shares in issue at their nominal value. The holders of Ordinary Shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.
On 25 March 2025, the Company issued 310,358 newly authorised shares at a subscription price of £0.05 (being the nominal value) to the Employee Benefit Trust in anticipation of the vesting of the second tranche of IPO LTIP share options. The shares are held by the Employee Benefit Trust on the behalf of certain option holders and are non-voting until each of the option holders choose to exercise their options at which point they are transferred to the option holder and become voting shares. As of 30 June 2025, 242,458 shares (H1 2024: 12,346) were held by the Company's Employee Benefit Trust.
Share premium
Share premium represents the amount over the par value which was received by the Group upon the sale of the Ordinary Shares.
Merger reserve
The merger reserve was created as a result of the share for share exchange under which Ashtead Technology Holdings plc became the parent undertaking prior to the IPO. Under merger accounting principles, the assets and liabilities of the subsidiaries were consolidated at book value in the Group financial statements and the consolidated reserves of the Group were adjusted to reflect the statutory share capital, share premium and other reserves of the Company as if it had always existed, with the difference presented as the merger reserve.
Share based payment reserve
The share based payment reserve is built up of charges in relation to equity settled share based payment arrangements which have been recognised within the consolidated income statement.
Foreign currency translation reserve
The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on consolidation, are translated to the Group's presentational currency, sterling, at foreign exchange rates ruling at the balance sheet date. The revenues and expenses of foreign operations are translated at an average rate for each month where this rate approximates to the foreign exchange rates ruling at the dates of the transactions.
Exchange differences arising from this translation of foreign operations are reported as an item of other comprehensive income and accumulated in the translation reserve, within invested capital. When a foreign operation is disposed of, such that control, joint control or significant influence (as the case may be) is lost, the entire accumulated amount in the foreign currency translation reserve is recycled to the income statement as part of the gain or loss on disposal.
Retained earnings
The movement in retained earnings is as set out in the consolidated statement of changes in equity. Retained earnings represent cumulative profits or losses, net of dividends and other adjustments.
18. Related parties
There were no transactions with related parties, other than key management personnel, in the six-month period ended 30 June 2025.
Compensation of key management personnel:
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
£000
£000
£000
Short-term employee benefits
1,038
1,066
1,574
Social security costs
141
603
667
Contributions to money purchase pension schemes
33
31
62
Share based payment expense (Note 16)
698
533
820
Total
1,910
2,233
3,123
19. Reconciliation of Alternative Performance Measures
Reconciliation of Adjusted EBITDA
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Adjusted EBITDA
38,397
31,418
69,451
Cost associated with M&A
-
-
(2,610)
Restructuring costs
(240)
(103)
(316)
Software development costs
(343)
-
(405)
Other exceptional costs
- --------
- --------
(90) --------
Operatingprofitbeforedepreciation,amortisation and foreign exchange gain/(loss)
37,814
31,315
66,030
Depreciation on property, plant and equipment
6
(10,393)
(8,195)
(17,850)
Depreciation on right-of-use asset
14
(984) --------
(644) --------
(1,275) --------
Operating profit before amortisation and foreign exchange gain/(loss)
26,437
22,476
46,905
Amortisation of intangible assets
7
(2,994)
(1,823)
(3,841)
Foreign exchange loss
(286) --------
(30) --------
(271) --------
Operating profit
23,157
20,623
42,793
Reconciliationof Adjusted EBITA
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Adjusted EBITA
27,020
22,579
50,326
Cost associated with M&A
-
-
(2,610)
Restructuring costs
(240)
(103)
(316)
Software development costs
(343)
-
(405)
Other exceptional costs
-
-
(90)
Amortisation of intangible assets
7
(2,994)
(1,823)
(3,841)
Foreign exchange loss
(286) --------
(30) --------
(271) --------
Operating profit
23,157
20,623
42,793
19. Reconciliation of Alternative Performance Measures (continued)
Reconciliationof Adjusted Profit Before Tax
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Adjusted Profit Before Tax
21,644
19,588
43,596
Cost associated with M&A
-
-
(2,610)
Restructuring costs
(240)
(103)
(316)
Software development costs
(343)
-
(405)
Other exceptional costs
-
-
(90)
Foreign exchange loss
(286)
(30)
(271)
Amortisation of intangible assets
7
(2,994) --------
(1,823) -------
(3,841) --------
Profit before taxation
17,781
17,632
36,063
Reconciliation of Adjusted Profit After Tax
Unaudited six months to 30 June 2025
Unaudited six months to 30 June 2024
Audited year ended 31 December 2024
Notes
£000
£000
£000
Adjusted Profit After Tax
17,587
15,292
36,109
Cost associated with M&A
-
-
(2,610)
Restructuring costs
(240)
(103)
(316)
Software development costs
(343)
-
(405)
Other exceptional costs
-
-
(90)
Foreign exchange loss
(286)
(30)
(271)
Amortisation of intangible assets
7
(2,994)
(1,823)
(3,841)
Tax impact of the adjustments above
145 --------
25 --------
202 --------
Profit for the financial period
13,869
13,361
28,778
Adjusted Profit After Tax is used to calculate the Adjusted earnings per share in Note 5.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
END
IR FFFLITSIEFIE
