HSS Hire sales 'resilient' as restructuring shows progress

HSS Hire revealed its like-for-like sales in 2024 were 2% lower at £333m

By HARRY WISE

Updated: 10:01 GMT, 3 March 2025

HSS Hire Group is making ‘strong progress’ on its restructuring programme after delivering a ‘resilient top-line performance’, the group said on Monday.

The firm split the management and trading functions of its THSC and ProService divisions in 2024, having separated them into standalone businesses three years ago.

The tool and equipment hire supplier revealed its like-for-like sales in 2024, excluding the power generator business sold last year, were 2 per cent lower at £333million.

Its gross margins also slipped by 1.8 percentage points to 45.2 per cent, which the Manchester-based firm said reflected a lower contribution from seasonal products and growing revenue from its rehire division.

HSS noted that ProService’s Self Serve marketplace platform was expanding its market presence and had a ‘healthy pipeline of new large customers’.

It also said the THSC segment was enjoying a ‘growing pipeline of direct customers’ since its sales team had been boosted.

Results: Tool and equipment hire supplier HSS revealed its like-for-like sales in 2024, excluding the power generator business sold last year, were 2 per cent lower at £333million

Towards the end of the year, it accelerated a cost rationalisation scheme at its THSC arm, closing 10 operating sites to ‘better reflect market conditions’ and optimise the network.

Consequently, the Manchester-based company’s operating costs rose by 3 per cent year-on-year, leading to its underlying earnings before nasties totalling approximately £48.5million.

Steve Ashmore, chief executive of HSS Hire, said: ‘Whilst market conditions remained challenging in the second half of 2024, following the well-executed restructuring and streamlining of our core operations, HSS is now better positioned to deliver sustainable growth as market conditions improve.

‘We are excited for the group’s future, with re-invigorated leadership teams better equipped to develop their respective businesses from solid and sustainable foundations.’

HSS took a significant knock last year after outsourcing giant Amey switched to a separate supplier for its equipment rental services.

The contract, which began in 2015, provided around about 7 per cent of HSS’s group revenue and 10 per cent of its earnings in 2023.

Founded in 1957, HSS rents equipment such as dehumidifiers, forklift trucks, and industrial steam cleaners.

HSS Hire Group shares were flat at 6.1p on Monday morning, although they have lost around a third of their value in the past year.

DIY INVESTING PLATFORMS

Easy investing and ready-made portfolios

AJ Bell

Easy investing and ready-made portfolios

Hargreaves Lansdown

Free fund dealing and investment ideas

interactive investor

Flat-fee investing from £4.99 per month

Saxo

Get £200 back in trading fees

Trading 212

Free dealing and no account fee

Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.

Compare the best investing account for you

:
HSS Hire sales ‘resilient’ as restructuring shows progress

***
Read more at DailyMail.co.uk

HSS Hire sales ‘resilient’ as restructuring shows progress