Brandon Hire profit falls 11%

Full-year results at Brandon Hire show turnover up 10% to £32.9m despite profit falling by the same margin to £3m. The increased turnover was accounted for by acquisitions (14 branches) while smaller margins at these (and three newly opened branches) caused part of the fall in profit, said the company.

It said that activity was subdued, there was little organic growth (against 14% growth in 2001) and the cost base was allowed to increase year-on-year as part of a drive to increase market share. All these factors contributed to the decline in operating margins.

Most of the new branches were acquired to increase geographical coverage, with the acquisition of Loadtite adding to its presence in the specialist lifting market. "We will continue to establish market leadership in the geographical areas where we operate and to increase the area we cover," said chairman John Laycock.