The information on Aggreko's financial records for their power generation rental business has been updated in rows 5-11, columns D-K of the attached spreadsheet. With an operating profit is £105 million (or $126 million) for its power rental segment, the genset rental fleet size is 10,009 MW.
- Aggreko's power rental original equipment acquisition cost / property and equipment (PPE) is £3,400 million (or $4.099 billion). Also, its net PPE or net book value is £1,057 million (or $1.274 billion).
- The genset rental fleet size for Aggreko's power rental division is 10,009 MW.
- The financial utilization of Aggreko's power generation rental segment was calculated as 24.18% while its time utilization is estimated as 66.61%.
- Aggreko's EBIT or operating profit for its power rental division is £105 million (or $126 million).
- Aggreko's intangible assets stand at £42 million or ($50.6 million).
To address this request, we mainly leveraged on the company's most recent annual report and financials. Aside from the data addressed in this section, the rest were easily pulled from the annual report, such as the target segment's genset rental fleet size. Also, we have used an online currency exchange tool to convert all monetary figures in British Pound to the US Dollar.
For Aggreko's power rental original equipment acquisition cost, this figure was not explicitly provided in the company's annual reports. However, according to Investopedia, "the acquisition cost of property, plant, and equipment (PPE) recognizes any discounts or additional costs that the company will experience and is often referred to as the original book value of the asset in question." Furthermore, it provided the formula for finding the cost of PPE as below:
Net PPE = (Gross PPE + Capital Expenditures) − Accumulated Depreciation
However, since the requested data is the ":original" equipment acquisition cost, we opted for the 'Gross PPE,' which has not been adjusted or seen any deduction. With this, we found that under the 'Property, Plant and Equipment' section of its annual report, Aggreko reported that prior to any adjustments or deductions, the gross PPE or original equipment acquisition cost for its power rental division is £3,400 million (or $4.099 billion). Note that, the company also provided the net PPE or net book value as £1,057 million (or $1.274 billion), which can still be used to represent the original equipment acquisition cost.
For the target segment's financial utilization, the formula is given as the percentage of the ratio between the rental revenue and the original equipment acquisition cost. From Aggreko's annual report, its power rental segment generated £822 million (or $991 million) in revenue. Since the original equipment acquisition cost for its power rental division is £3,400 million (or $4.099 billion), its financial utilization is 24.18% (i.e., £822 million / £3,400 million = ~ 0.2418 * 100 = 24.18%)
For the time utilization, this data was not provided. While this quantity can be calculated as the percentage of the power capacity hours on rent divided by total power capacity, the company disclosed no information around its power capacity hours on rent. Hence, triangulating this data was a bit challenging. Moreover, research through other third-party industry and media reports yielded no pertinent information. Notwithstanding, we found in the company's annual reports that its average MW on hire is 5,296MW from diesel, 1,332MW from gas, 8MW from hybrid and 31MW from HFO. These sum up to an average of 6,667MW on hire. Assuming that this figure (6,667MW) is the average MW on hire over the year, 2018 (i.e., 6,667MW per), and the total power capacity is already given as 10,009 MW, therefore, the time utilization is 66.61% (i.e., 6,667MW / 10,009 MW = 0.6661 * 100 = 66.61%)
For the target segment's intangible assets, it was not disclosed in the company's annual report. However, we have provided the group's intangible asset figures as an alternative.
Lastly, the regional breakdown of this data is not available as only the regional revenue figures were disclosed. Hence, we have entered "N/A" into the respective cells.