StockMarketWire.com - VP reports revenues grew by 16% to £163.6 million, a record turnover figure for the Group.

This revenue increase translated into operating profits before amortisation of £18.5 million, an increase of 12% over the prior year. Operating margins reduced slightly from 11.7% to 11.3% largely reflecting the change in mix of the divisional results.

The financial progress has been driven entirely by organic growth within existing activities with no acquisitions in the period under review.

The company has continued to invest strongly in itsbusinesses, with capital expenditure on rental fleet growing to £32.1 million (2011: £24.2 million). Whilst there is a proportion of renewal investment in these figures, there is also a strong element of fleet growth in support of secured business opportunities.

The Group has also continued to streamline the fleet, withdrawing from or reducing low margin product lines. Fleet sale proceeds remained an important cash inflow at £7.4 million (2011: £7.2 million) generating profits on sale of £2.2 million (2011: £2.3 million).


At 8:12am: [LON:VP.] VP share price was +16p at 253p



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