REG - Vp PLC - Trading Update

VPAnnouncement

11/02/2026 07:00

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RNS Number : 5058S  Vp PLC  11 February 2026

 11 February 2026

Vp plc

('Vp', or the 'Group')

 

Trading Update

 

Challenging macro-economic backdrop drives reset of expectations

 

Vp plc, the specialist equipment rental business, today provides a trading
update for the ten months ended 31 January 2026.

 

The Board remains confident that the Group, aided by its robust balance sheet
and transformation of Brandon Hire Station, and underpinned by a focused
strategy targeted at core sectors, is well positioned to take advantage of
future market opportunities. However, current market headwinds, particularly
in construction and water, where we have seen a slower than expected impact
from AMP8, have resulted in a disappointingly muted January 'return to work'
and a correspondingly slow fourth quarter ramp-up in activity volumes.
Therefore Vp now expects to report a profit* for the current financial year
within the range of £26-29m.

 

Across the sectors in which we operate, we continue to see growth and strong
demand in energy transmission, whilst rail activity remains steady yet
subdued. We remain positive about prospects in water and confident in our
ability to take advantage of the significant increase in expenditure to come
in AMP8. However, while we have seen an uptick in design and planning work, we
now expect to see meaningful increases in water revenues in FY27 rather than
the current financial year. General construction remains subdued, with
follow-on implications for activity levels across several Vp businesses.

 

In the Group's smaller end markets, performance in housebuilding has
benefitted from operating model changes made in the last financial year but
overall activity levels remain subdued. Energy continues to be impacted by
macroeconomic factors with increased project activity expected in FY27.

Against this backdrop Vp continues to deliver on its strategy, including the
continued implementation of our digital roadmap alongside further
harmonisation of systems and business processes, all of which will drive
further opportunities for the Group.

 

At Brandon Hire Station, which operates in the general construction market,
good progress has been made delivering the transformational activities
announced in November, which will result in a smaller, more focused and
profitable business. These actions include a reduction in the branch footprint
from over 100 to 41 and a headcount reduction of c.400. We remain on track to
materially complete the transformation programme at Brandon by 31 March.

 

Alice Woodwark, Chief Executive of Vp, said:

"Vp remains committed to its strategy of offering a diversified range of
specialist equipment and expertise to clients across a portfolio of critical
market sectors. While this diversity and breadth gives our business
market-leading resilience and opportunity, it is not immune to general trading
conditions in construction and delays to major infrastructure programme spend
in key sectors. Our progress in transforming Brandon, which is on track for
completion within the financial year, and our commitment to a strategy of
growth and operational excellence position us well to take advantage of future
opportunities across our markets."

 

- Ends -

 

*Profit before tax, amortisation and impairment of goodwill, trade names and
customer relationships and exceptional items.

 

The information contained within this announcement is deemed by Vp to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) no. 596/2014 (as it forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018). On the publication of this announcement
via a Regulatory Information Service, this inside information is now
considered to be in the public domain.

 

 

For further information:

 Vp plc
 Alice Woodwark, Chief Executive            Tel: +44 (0) 1423 533 400
 Keith Winstanley, Chief Financial Officer  www.vpplc.com (http://www.vpplc.com/)

 

 Media enquiries:

 Sodali & Co
 Justin Griffiths/Nick Johnson/Amy Gibson  Tel: +44 (0) 2071 006 451
                                           vp@client.sodali.com
                                           (https://vpplc-my.sharepoint.com/personal/lmansf_vpplc_com/Documents/vp@client.sodali.com)

 

 

Notes to Editors

Vp plc is a specialist equipment rental business providing equipment, people,
services and support for specialist projects. It focuses on niche sectors
principally in the Infrastructure, Construction, Housebuilding and Energy
markets in the UK and overseas. Businesses include: Groundforce, TPA, Torrent
Trackside, Brandon Hire Station, ESS, MEP Hire, CPH, UK Forks, Airpac Rentals
and Tech Rentals. Vp Rail is the Group's integrated rail solution providing
customers with direct access to all of Vp's rail specialisms through a central
team.

 

Our approach to environmental and social impact is guided by our core values
and responsible business framework, for more information go
to: www.vpplc.com/esg-and-governance/
(http://www.vpplc.com/esg-and-governance/)

 

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