Rise in revenue as Clipper unveils interim results

Clipper Logistics has reported a rise in revenue and earnings in interim results published by the listed Leeds-based logistics and e-fulfilment specialist this week.

For the six months ended 31 October 2019, revenue was reported as £254.6 million, rising 11.7% on the same period in 2018.

Group profit before tax, meanwhile, rose from £9.3 million to £10.1 million. Group EBIT increased 13.5% to £12.1 million.

Growth was partly driven by an increase in new contracts and customers with the company beginning work with Hope & Ivy, Simba Sleep, SLG, Amara and Shop Direct. It also began a new operation providing services to M&S National Distribution Centres.

“The group continues to see impressive revenue and EBIT performance in the first six months of the year, largely driven by the particularly strong growth in e-fulfilment and returns management and an improving contribution from our Clicklink joint venture,” said Executive Chairman Steve Parkin.

He added: “Our business continues to perform well in Europe, with revenue growth in Poland of 111.6% and Germany of 33.4%.

“This is supported by a solid new business pipeline in the UK where we continue to offer value-add e-commerce and logistics services, including automation programmes, as we trial robotic technologies with a number of customers.

“Trading has continued to be positive post-period end, with the key Black Friday trading weekend seeing record daily volumes in certain sites, and we expect full year earnings to be broadly in line with the board’s expectations.

“Notwithstanding the difficulties facing the UK high street and the uncertainties of the UK political environment in the current year, Clipper remains positive about the longer-term outlook and believe the group is well positioned to achieve further growth in both the UK and internationally.”