Invest in our people
In April 2021, we were excited to unveil the next iteration of our strategic plan, Sunbelt 3.0. This follows our successful Project 2021, during which we doubled our revenue from £2,546m in 2016 to £5,031m in 2021, despite the impact of COVID-19. Our new plan is ambitious and reflects what we believe is possible for Ashtead. Our plan is infused with purpose for all our stakeholders; our people, our customers, our suppliers, our investors and our communities and underpinned by critical cultural elements.
Our business, even under normal circumstances, is cyclical and we have created a business model that not only accommodates that, but which capitalises on it. We seek to make the most of the structural growth opportunities available to us, particularly in the US and Canada, through same-store investment, greenfields and bolt-ons. From 2011 to 2021, we achieved 16% compound annual growth in the US, of which two-thirds was from market share gain. Now we plan to take the business to the next level, through Sunbelt 3.0.
We are conservative in our approach to maintaining a stable and secure balance sheet throughout the cycle and this enables us to maintain the flexibility we require to manage changes to the business and its environment, as and when they occur. We have been able to take decisions based on the long-term prospects for the business without having to take short-term decisions that damage the fabric of it. The past year of dealing with COVID-19 has demonstrated perhaps more than any other, our ability to not only withstand difficult market conditions, but actually to flourish under them. Being a highly diversified business enables that. We work well in good times and bad. That is what we do.
Our goal for Sunbelt 3.0 is to add 298 new locations across North America bringing us to a total of 1,234 locations in 2024, while in the UK, the focus is on transforming the business over the next three years to deliver enhanced and sustainable margins and returns. We intend to do this through five actionable components which will help us capitalise on the structural growth opportunities still very much available in North America and position us as the leading rental company in the UK. These are underpinned by three cultural elements that make us who we are, investing in our people, maintaining our entrepreneurial culture but doing that at scale, and continuing to bring Availability, Reliability and Ease to our customers.
|GROW GENERAL TOOL AND ADVANCE OUR CLUSTERS|
Advance our clustered market approach through a proven playbook to meet demand and enable increased rental penetration in North America while optimising our operational network in the UK.
Drive accelerated growth through recently realised Speciality scale, unique cross-selling capabilities, and demand in the early phases of rental penetration.
Make the move from industry-leading technology platform, to a leader among the broader industrial and service sector; further improving our customer value proposition and capture the benefits of scale across the Group.
|LEAD WITH ESG|
Embracing responsible sustainability and success for our people, our customers, our communities and our investors; while unlocking structural benefits ESG will bring to rental across the Group.
|DYNAMIC CAPITAL ALLOCATION|
Consistent application of our capital allocation policy to optimise capital deployment for the benefit of all stakeholders.
Invest in our people
Entrepreneurialism with scale
Bringing Availability, Reliability and Ease to our customers