(Alliance News) -Â Wincanton PLC had a buoyant Christmas trading period despite industry-wide supply and staffing issues, prompting the logistics firm to bump up guidance on Thursday.
Shares in Wincanton were up 11% at 389.00 pence in London on Thursday, taking its share price gain over the past 12 months to 27%.
Wincanton now expects full-year profit to top market expectations after third quarter revenue grew 15% year-on-year.
Digital & eFulfilment sector revenue increased by 51%, driven by the acquisition of Cygnia - though even excluding the purchase, revenue was up 22%.
It described business for its Grocery and Consumer sector customers as "seamless" during the peak Christmas period, with revenue in this segment up 19% on a year ago.
Wincanton achieved all this even with industry-wide driver and labour shortages, which the firm "managed successfully" to meet elevated activity in the peak period.
Broker Liberum said Wincanton's caution on labour shortages has proved "excessive" and headwinds appear to be moderating.
"While our view has been that Wincanton's exposure to these challenges has been overstated, given its high exposure to open book contracts and relatively low exposure to transport, it is nonetheless encouraging that the feared problems have not crystallised in any meaningful way," said Liberum.
By Lucy Heming;Â lucyheming@alliancenews.com
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