North East vehicle hire operator Redde Northgate says it is trading ahead of expectations with strong demand for its services.
The Darlington-based plc told investors on the London Stock Exchange there had been demand from for both vehicle rental and accident management services, including growth from major insurance contracts launched over the past 12 months. In a trading update for the year to the end of April 2023, Redde said it now expected its full year pre-tax profits to be at the top end of its estimated range of between £149.6 to £164.4m.
A lack of available new vehicles has previously held back growth at the firm, and van supply constraints in the UK and Ireland were said to have continued throughout the year, despite an easing of the situation in the car market. Meanwhile Redde said that new vehicle supply in Spain - where the firm has an operation - was already close to normal levels.
