Ashtead, a London-listed equipment rental company, has recently released a handout photo showcasing an example of its Sunbelt Rentals hire equipment. The company cited various reasons for its downbeat outlook, including a quieter hurricane season and fewer naturally occurring events such as wildfires. Ashtead competes with United Rentals in the U.S., serving construction, emergency response, and entertainment markets in the U.S., UK, and Canada.
The Hollywood actors’ and writer’s strikes affected Ashtead’s film and television business in Canada, which had some impact on the rest of the Canadian, U.S., and UK businesses that rent into that space. Despite this setback, the company expects its annual profit to come in below market expectations due to lower emergency response activity and a more than $2 billion depreciation charge for the year.
Ashtead has lowered its annual group and U.S. rental revenue growth forecast and said net interest costs would amount to about $540 million for the year.