Somewhat inexplicably, as the FTSE 100 closes up 2.7% today with no losers, despite ongoing concern over the credit crunch, and companies like Wolseley making statements of concern, Speedy Hire ends the day in the red despite posting good first half results.
The company, which provides equipment and tools to builders and utilities, posted a 35.7% rise in sales to £209.5m, on a 17.4% increase in pre-tax profit to £18.2m.
In addition, it went to great lengths to reassure on a slowing housing market, and general economic uncertainty. David Wallis, chairman of Speedy Hire, said that the housebuilding sector could hit more challenging times, and emphasised that revenues from this sector were a "minor part" of the group's total sales.
He also stressed the group's ability to go beyond construction and supply sectors like the petrochemicals, pharmachemicals and government. Its key customers, he continued, continued to report strong order books.
There were analyst upgrades, and still shares fell 14p, or 1.5%, to 915p.
