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Highlights

  • Ashtead Group has recorded a 19.3% year-on-year growth in top-line business to USD 2.70 billion in Q1 FY24.
  • Its operating profit has jumped by over 18% to USD 703 million in the reporting period.
  • The company has delivered around 19.24% YoY increase in total dividend for the full fiscal year 2023.

FTSE 100 index listed Ashtead Group PLC (LSE: AHT) is a British industrial equipment rental entity that rents a range of construction and industrial equipment to a diverse customer base.

In Q1 FY24, AHT recorded a 19.3% year-on-year growth in top-line business to USD 2.70 billion, because of the ongoing momentum in end markets. Its operating profit  jumped by over 18% to USD 703 million in the reporting period. Ashtead’s earnings per share grew to 102.3 US cents in the first quarter from 89.70 US cents in the previous corresponding period. The company has delivered around 19.24% YoY increase in total dividend for the full fiscal year 2023.

The company has made capital investments of approximately USD 1.1 billion across its existing sites and around USD 361 million in nine bolt-on acquisitions across 40 locations in the first quarter of FY24, aiming expansion in its footprint as well as diversification in the end markets. The company’s free cash outflow was recorded at USD 139 million in Q1 FY24, with capital expenditure payments of USD 1,164 million.

In the fiscal year 2024, the company is expecting its rental revenue to witness a growth between 13% and 16%. 

Top 10 Shareholders

The top 10 shareholders collectively form ~23.14% of the total shareholdings. BlackRock Institutional Trust Company, N.A. holds the maximum number of shares with ~5.01% shareholding, followed by The Vanguard Group, Inc. with ~3.35% shareholding, as depicted in the chart below: 

Stock Price Performance

The stock has witnessed a decline of ~4.12% in the last one month and over the last 6 months, it has increased by ~1.35%. The stock has a 52-week low and 52-week high of GBX 4,386.00 & GBX 6,012.00, respectively and is currently trading below the average of 52-week high-low.

 

Please note markets are trading in a highly volatile zone currently due to certain macro-economic and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference data for all price data, currency, technical indicators, support, and resistance levels is 27 October 2023. The reference data in this report has been partly sourced from EODHD/Others.