Press Release
18 August 2009
Vp plc
("Vp" or "the Group")
Interim Management Statement
As anticipated, the trading environment has continued to be
challenging in the period since the final results announcement in May
2009 and recovery is expected to be slow. However, the diversity of
the Group remains a strength and has provided some resilience to
difficult trading conditions.
Demand in general contracting has softened as projects have been
cancelled or deferred and whilst some stability has returned to the
housebuilding sector, activity remains at historic lows. By contrast
the UK infrastructure and regulated utility markets continue to
provide good opportunities to our specialist businesses. The oil and
gas sector has remained satisfactory over the period, as has
transmission, though the latter at lower levels of activity than
prior year. The slowed rate of investment on the rail network has
impacted our rail activities in the period, though we still believe
the longer term prospects in this sector remain positive.
Our focus in the current year is to conserve cash and we have
operated at significantly reduced levels of capital expenditure since
the start of the new financial year. The balance sheet remains
robust, net debt is reducing and effective working capital management
has been maintained.
General market uncertainties persist but the business remains in
excellent financial health. Our exposure to a wide range of
regulated and outsourcing markets provides some cushion to the
general economic slowdown. We believe that, subject to no further
deterioration in our markets, we remain in position to deliver
another satisfactory result in the current financial year.
- Ends -
For further information please contact:
Vp plc
Jeremy Pilkington, Chairman Tel: +44 (0) 1423 533 400
jeremypilkington@vpplc.com
Neil Stothard, Group Managing Director Tel: +44 (0) 1423 533 445
neil.stothard@vpplc.com www.vpplc.com
Mike Holt, Group Finance Director Tel: +44 (0) 1423 533 445
mike.holt@vpplc.com www.vpplc.com
Media enquiries:
Abchurch Communications
George Parker / Mark Dixon Tel: +44 (0) 207 398 7719
george.parker@abchurch-group.com www.abchurch-group.com
Notes to editors:
About Vp
The main activity of the Group is equipment rental and associated
services principally conducted within the UK. Vp plc listed on the
London Stock Exchange in 1973.
The Group is focused on six businesses:
Hire Station
Tools and specialist products for industry, construction and home
owners.
TPA
Portable roadway systems, bridging, fencing and barriers primarily to
the UK market, but also in the Republic of Ireland and mainland
Europe.
Torrent Trackside
Infrastructure equipment and services for the railway renewals and
maintenance industry.
Groundforce
Excavation support systems and specialist products for the water,
civil engineering and construction industries.
UK Forks
Rough terrain material handling equipment for industry, residential
and general construction.
Airpac Bukom Oilfield Services
Equipment and service providers to the international oil and gas
exploration and development markets.
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