Speedy Hire PLC on Wednesday left its dividend unchanged, despite reporting a surge in profit.

Shares in the Merseyside-based tools and equipment hire service company were up 3.4% to 29.57 pence each in London on Wednesday morning.

In the financial year that ended March 31, pretax profit nearly tripled to £5.1 million from £1.8 million the year before.

Revenue fell 4.3% to £421.5 million from £440.6 million, but cost of sales fell by even more, down 14% to £191.5 million from £221.6 million. Speedy Hire said the fall in revenue was in part due to a ‘softening’ in Regional customer markets. The company also has National customers, which make up 53% of revenue.

Speedy Hire declared a 1.80 pence final dividend, leaving its full-year payout unchanged at 2.6p.

Looking ahead, Speedy Hire said its new financial year has ‘started well’ and is marginally ahead of last year, with its overall performance in line with expectations.

The company expects a second-half weighting to revenue and profit.

‘Speedy delivered a resilient financial performance, making positive strategic progress over the year, despite the challenging macro-economic environment,’ said Chief Executive Dan Evans.

‘We continue to improve our customer proposition, investing in technology and AI capabilities, sustainable products and our people, to position the group strongly for profitable growth.’

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