LONDON (Alliance News) - Distribution company Connect Group PLC on Tuesday said group revenue increased in the first 44 weeks of its financial year, as a strong performance in its parcel freight arm offset weakness in its news and media and books businesses.
Connect said total group revenue for the 44 weeks to July 7 was up 3.1% year, with its overall performance slightly ahead of its expectations.
Parcel freight was the star performer for the company in the period, with revenue up by around 21%, ahead of Connect's expectations. The unit was formed from the acquisition of Tuffnells Parcels Express Ltd in December. The group's education and care business also saw revenue increase, up by 1.9%, with growth driven by its primary education and early years divisions.
The group's news business saw revenue fall 3.4% in the period, with a strong regional business offset by the lack of revenue to replace that generated by World Cup sticker sales in 2014. Books revenue also fell, down by 1.1% as Connect said it continues to focus on profitable sales.
Connect will publish its full-year results, for the 12 months to August 31, on October 14.
Shares in Connect were up 0.4% to 144.50 pence on Tuesday.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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