REG - HSS Hire Group PLC - Pre-close Trading Update

HSS HireAnnouncement

02/03/2023 07:01

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RNS Number : 5874R  HSS Hire Group PLC  02 March 2023

 

2 March 2023

 

HSS Hire Group Plc

Pre-close Trading Update

 

"Double digit growth, momentum continuing into 2023"

 

HSS Hire Group plc ("HSS" or the "Group") provides the following trading
update ahead of its results for the full year 2022, expected to be announced
in April 2023.

 

The Group's capital-light, technology-led operating model has delivered strong
growth in 2022. Unaudited like-for-like(1) revenues were approximately 10%
ahead of the prior year, driven by good results through our Rental business
and the continued excellent performance of our Services business.

 

As a result, Adjusted EBITA(2) for the full year is now expected to be
marginally ahead of market expectations. Strong cash generation has resulted
in net debt leverage on a non-IFR16 basis remaining below 1.0x.

 

Following the successful legal restructuring of the Group in 2022, strategy
implementation across both HSS ProService(3) and HSS Operations(3) is
progressing well.

 

Delivery of HSS ProService's technology roadmap remains ahead of plan. Our
initial rollout has seen four large customers successfully transition to our
self-service platform, HSS Pro. This enables our customers to manage all their
hire requirements in one place, therefore significantly improving efficiency
for both customers and HSS. With positive results and strong customer feedback
to date, we have a healthy pipeline of customers to roll this platform out to
over the coming year.

 

Trading momentum, underpinned by effective strategy execution, has continued
into 2023 with like-for-like revenue growth for the first 8 weeks of c12%.

 

Steve Ashmore, Chief Executive, commented:

 

"We are extremely pleased with the progress made in 2022, both in terms of
financial performance and the implementation of our technology roadmap. Our
strong focus on execution continues to underpin our momentum with a very
positive start to the new financial year. While we remain mindful of the
macroeconomic environment, HSS is well positioned for the year ahead."

 

 

-Ends-

 

 

Notes:

1)        Like-for-like performance excludes the impact of the
following in 2021: additional week's trading and non-recurring COVID related
benefits.

2)        Adjusted EBITA is defined as operating profit before
amortisation, and exceptional items.

3)        HSS ProService targets customer acquisition and enquiry
conversion while HSS Operations focusses on fulfilment and service.

 

 

Enquiries:

 

 HSS Hire Group plc                      Tel: 020 3757 9248
 Steve Ashmore, Chief Executive Officer                Email: Investors@hss.com
 Paul Quested, Chief Financial Officer

 Numis Securities                        Tel: 020 7260 1000

 Stuart Skinner / George Price

 Teneo (Public Relations Adviser)        Tel:  07557 491860
 Tom Davies / Charles Armitstead

 

 

Notes to editors:

 

 

HSS Hire Group plc provides tool and equipment hire and related services in
the UK and Ireland through a nationwide network and its extensive supply chain
of rehire partners. It offers a one-stop-shop for all equipment through a
combination of its complementary Rental and Services businesses to a diverse,
predominantly B2B customer base serving a range of end markets and activities.
Over 90% of its revenues come from business customers. HSS is listed on the
AIM Market of the London Stock Exchange. For more information please
see www.hsshiregroup.com (http://www.hsshiregroup.com/) .

 

 

Disclaimer:

This announcement contains forward-looking statements relating to the
business, financial performance and results of HSS Hire Group plc and the
industry in which HSS Hire Group plc operates. These statements may be
identified by words such as "expect", "believe", "estimate", "plan", "target",
or "forecast" and similar expressions, or by their context. These statements
are made on the basis of current knowledge and assumptions and involve risks
and uncertainties. Various factors could cause actual future results,
performance or events to differ materially from those described in these
statements and neither HSS Hire Group plc nor any other person accepts any
responsibility for the accuracy of the opinions expressed in this presentation
or the underlying assumptions. No obligation is assumed to update any
forward-looking statements.

 

 

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