Helphire has revealed a £149 million pre-tax loss in its full year results after making a £43 million profit 12 months ago.

Its annual report also revealed 700 jobs have been shed in the past year and a major reduction in its fleet size.

A sharp fall in business resulted in the company being saddled with an excess of approximately 8,750 rental vehicles.

It has disposed of 4,000 units and placed the remaining 4,750 on long-term corporate rental of between six and 12 months.

The fleet size is now around 16,500 strong and the split of owned vehicles to contract hire is 85:15.

Net debt has been reduced by £122.8 million to £239.5 million, down from £362.3 million in 2008. It plans to reduce its working capital by £100 million by June 2010 and by August 2009 had already achieved a £70 million reduction.

“We will be actively seeking to grow the business from its new, more productive base as opportunities arise, albeit with a focus on quality and profitability,” said group managing director Martin Ward.