(Alliance News) - Clipper Logistics PLC on Monday said it saw significant growth in its last financial year thanks to a big increase in demand for its e-fulfilment services and logistics networks.
The logistics solutions and e-fulfilment & returns management services provider said pretax profit for the year ended April 30 rose 19% to GBP20.1 million from GBP16.9 million the year prior.
Revenue was up 8.8% to GBP500.7 million from GBP460.2 million.
The company said significant organic growth in the period, driven by e-fulfilment volume, led to the milestone revenue of over GBP500 million.
E-fulfilment & returns management services revenue rose 18% to GBP277.0 million from GBP233.9 million a year prior.
Clipper Logistics also benefited from an increase in demand for additional distribution capabilities from its food retail customers, such as Tesco PLC, as well as being mandated to establish a new supply chain for the NHS delivering personal protective equipment products to hospitals.
Executive Chair Steve Parkin said: "The impact of government restrictions affected many of our retail clients; however it was testament to our long-standing and proactive client relationships and broad service offering that activity levels have swiftly bounced back and have since achieved record levels after the initial disruption."
The company's full year dividend was left unchanged from the year before at 9.7 pence per share.
Clipper Logistics experienced a "very positive" start to the new financial year with exceptionally high levels of demand for its e-fulfilment & returns management services in particular. The company expects it will comfortably exceed market expectations for the financial year ending in 2021.
Parkin said: "Recent contract wins, together with a strong pipeline of new business activity and the further evolution of our click and collect proposition, we believe place the group in an excellent position to achieve further growth both in the UK and internationally."
Clipper Logistics shares were up 8.1% at 400.00 pence each on Monday afternoon in London.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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