Ashtead Share Discussion Threads

[fenners66] 18/10/2018 00:35

They are also upping their 2018 forecast sales range but leaving the top end of EBITDA6 the same and reducing free cash flow.....

[fenners66] 18/10/2018 00:32

Guessing that Blue Line acquisition is at a heavy profit multiple

[fenners66] 18/10/2018 00:29

Maybe it was this ~:

BlueLine Acquisition

On September 10, 2018, the company announced that it has entered into a definitive agreement to acquire Vander Holding Corporation and its subsidiaries (“BlueLineR21;) for approximately $2.1 billion in cash. The company expects to fund the acquisition using a new $1 billion term loan facility and other debt issuances. BlueLine is one of the ten largest equipment rental companies in North America, serves over 50,000 customers in the construction and industrial sectors, and has 114 locations and over 1,700 employees based in 25 U.S. states, Canada and Puerto Rico. BlueLine has annual revenues of approximately $786 million. The transaction is expected to close in the fourth quarter, subject to Hart-Scott-Rodino clearance and other customary conditions.

Racking up the debt at a time of rising rates.....

But more consolidation - should be good for rental rates

[smcni1968] 17/10/2018 21:37

URI dropped 6% (now only down 2%) for no good reason I can see. Shoot first ask questions later seems to be the order of the day

[smcni1968] 17/10/2018 21:23

Trading down 6% unfortunately

[ianwwwhite] 17/10/2018 21:20

United Rentals Announces Third Quarter 2018 Results and Raises 2018 Total Revenue and Adjusted EBITDA Guidance

United Rentals, Inc. (NYSE: URI) today announced financial results for the third quarter 2018. Total revenue was $2.116 billion and rental revenue was $1.861 billion for the third quarter, compared with $1.766 billion and $1.536 billion, respectively, for the same period last year. On a GAAP basis, the company reported third quarter net income of $333 million, or $4.01 per diluted share, compared with $199 million, or $2.33 per diluted share, for the same period last year. The third quarter 2018 includes a net income benefit associated with the Tax Cuts and Jobs Act (the “Tax Act”) that was enacted in December 2017. The Tax Act reduced the U.S. federal corporate statutory tax rate from 35% to 21%, which contributed an estimated $0.73 to earnings per diluted share for the third quarter 20182.

Adjusted EPS for the quarter was $4.74 per diluted share, compared with $3.25 per diluted share for the same period last year. The reduction in the tax rate discussed above contributed an estimated $0.87 to adjusted EPS for the third quarter 2018. Adjusted EBITDA was $1.059 billion and adjusted EBITDA margin was 50.0%, reflecting increases of $180 million and 20 basis points, respectively, from the same period last year. Excluding the impact of the BakerCorp acquisition, adjusted EBITDA margin improved 80 basis points year-over-year to a record of 50.6%.

Third Quarter 2018 Highlights

Rental revenue increased 21.2% year-over-year. Owned equipment rental revenue increased 20.3%, reflecting increases of 17.8% in the volume of equipment on rent and 2.1% in rental rates.

Pro forma rental revenue increased 10.9% year-over-year, reflecting growth of 7.4% in the volume of equipment on rent and a 2.1% increase in rental rates.

Time utilization decreased 100 basis points year-over-year to 70.9%, primarily reflecting the impact of the Neff and BakerCorp acquisitions. On a pro forma basis, time utilization decreased 10 basis points year-over-year to 70.7%.

For the company’s specialty segment, Trench, Power and Fluid Solutions, rental revenue increased by 39.5% year-over-year, including a 12.7% increase on a same store basis.

Rental gross margin decreased by 250 basis points to 52.3%. The decrease in rental gross margin was primarily due to the impact of the BakerCorp acquisition and an increase in lower-margin fuel revenues primarily within the Power and HVAC region.

Source:

[dcarn] 17/10/2018 19:01

Lets see if United Rentals brings positive news in a couple of hours.

[jimohno] 17/10/2018 18:50

Thanks bracke.

[bracke] 17/10/2018 18:34

jim

It is now testing 2000. When it dropped below 2000 on Monday buyers came in and bought it back up whether they will do so again we will have to wait wait and see. It's too early to say which way it will go.

uppompeii

I posted that there was no need to be "stinting'. A little more effusiveness would not be untoward.

[jimohno] 17/10/2018 18:15

Well I'm impressed bracke, excellent forecasting. The question is where do you see it going from here?

[bracke] 17/10/2018 18:02

I deserve full marks for that one. Exactly as previously posted

Filled gap, retrace and test of 2000.

Where are you uppompeii? There is no need to be stinting with your praise.

[fenners66] 17/10/2018 15:08

Are we a yoyo stock now?

[bracke] 16/10/2018 13:46

The share price has broken above 2000 and looks good for a gap fill to 2054.

Providing there is nothing to greatly upset the US market 2000 has a good chance of holding but don't be surprised if it retraces once the gap is filled.

[ianwwwhite] 16/10/2018 12:32

Thanks bracke,

In the short term, I would be happy if 2000 could become established as support given the current market.

Best wishes to Mater B...

[bracke] 16/10/2018 12:09

Good day ian

Yes it's moved up to 2000 but will it break through and go for the gap fill?

Mater B will not be attending the AHT holders reunion. Her interest in shares is minimal other than if they are losing money.

[ianwwwhite] 16/10/2018 11:44

Good morning bracke

Either my PC screen has gone inverted, or we are heading in the right direction for a change.

Nice to have the venerable Mrs B on board, I wonder, will she be joining us at the next AHT holders reunion?

[bracke] 16/10/2018 11:08

Good day uppompeii

Indeed.

If the share price manages to break above 2000 the target is likely to be the gap fill up to 2054. Thereafter it may want to drop back to test 2000.

[mjcferguson] 16/10/2018 10:57

United Rentals third quarter figures due out after close tomorrow.Should give us a boost.

[uppompeii] 15/10/2018 17:52

That Power of Attorney must come in handy bracke...

[bracke] 15/10/2018 16:53

1900 supported but not a lot of volume.

2000 has previously been support the danger is that it will now be resistance. I hope not, mater will be upset.

[bracke] 15/10/2018 13:49

Not quite. It closed on 04 April at 1911

[dealer1972] 15/10/2018 13:30

Didn't a gap just get closed ?

[rhatton] 15/10/2018 11:49

Bracke...have you tried opening an IG Swiss account to get around the new regs? I realise that it is CFD though