LONDON (dpa-AFX) - Ashtead Group Plc. (AHT.L), a British industrial equipment rental company, reported that its profit before tax for the first quarter ended 31 July 2025 declined to $511.6 million from $544.4 million in the previous year. This reflects non-recurring costs of $13 million related to the Group's move to a primary listing in the US, and amortisation expenses of $28 million, compared to $29 million a year earlier. Included within the total tax charge is a tax credit of $8 million, up from $7 million last year, which relates to the amortisation of intangibles and the non-recurring costs.
The company reaffirmed revenue and capex guidance for the year, while raised it for free cash flow. The company continues to progress its relisting on the NYSE that is currently scheduled for March 2026.
Looking ahead for 2025/26, the company still expects capital expenditure to be in the range of $1.8 billion - $2.2 billion and rental revenue growth of 0% - 4%.
The company now expects annual free cash flow to be in the range of $2.2 billion - $2.5 billion compared to the prior estimation of $2.0 billion - $2.3 billion.
The company's profit attributable to equity holders of the company for the first quarter decreased to $375.5 million or 87.5 cents per share from $403.5 million or 91.9 cents per share in the prior year.
Adjusted operating profit decreased 5% to $683 million from the prior year, reflecting a depreciation charge which was 4% higher than the prior year. The higher increase in the depreciation charge relative to revenue growth reflects the ongoing impact of life cycle fleet inflation, contributing to the decline in adjusted operating profit.
Adjusted profit after tax for the quarter was $408.1 million down from $425.0 million last year. Adjusted earnings per basic share decreased to 95.3 cents from 97.4 cents in the previous year.
Group revenue for the first quarter grew to $2.801 billion from $2.754 billion last year.
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