RE: SOS is now a6 Dec 2018 09:22
RNS Number : 5972J
Clipper Logistics plc
06 December 2018
CLIPPER LOGISTICS PLC
INTERIM RESULTS FOR THE SIX MONTHS TO 31 OCTOBER 2018
Clipper Logistics plc ("Clipper", "the Group", or "the Company"), a leading provider of value-added logistics solutions and e-fulfilment and returns management services to the retail sector, is pleased to announce its unaudited results for the six months ended 31 October 2018 ("H1 FY19").
Financial Highlights
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Group revenue up 14.1% to £227.9 million (six months ended 31 October 2017 ("H1 FY18"): £199.7 million).
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Group EBIT 16.1% ahead at £10.7 million (H1 FY18: £9.2 million), as a result of strong performance in e-fulfilment and returns management in particular. By segment:
o
E-fulfilment and returns management services EBIT up 17.1% to £6.2 million (H1 FY18: £5.3 million), including £(0.7) million impact from Clicklink (H1 FY18: £(0.7) million). Post period-end, Clicklink rate enhancements agreed with key customers and onboarding of secured new customers will enhance profitability in the second half and beyond;
o
Non e-fulfilment logistics EBIT up 16.4% to £7.3 million (H1 FY18: £6.3 million), including property-related advisory fees of £2.8 million (H1 FY18: £nil). EBIT excluding property-related advisory fees has reduced, due in particular to lower activity levels on a closed-book contract with a key retailer as it re-shapes and restructures its network, together with lower tobacco activity. Recent contract wins and increased tobacco activity are expected to deliver earnings growth in the second half; and
o
Commercial vehicles EBIT down 36.9% to £0.9 million (H1 FY18: £1.4 million) due to lower sales of new vehicles.
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Group Profit Before Tax and Amortisation1 up 17.3% to £9.9 million (H1 FY18: £8.4 million).
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Group Profit Before Tax (PBT) up 16.9% to £9.3 million (H1 FY18: £7.9 million).
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Cash generated from operations of £10.1 million (H1 FY18: £12.6 million).
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Earnings per share up 14.3% to 7.2 pence (H1 FY18: 6.3 pence).
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Interim dividend increased by 14.3% to 3.2 pence per share (H1 FY18: 2.8 pence).
1 As defined in Alternative Performance Measures section
Operational Highlights
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Commencement of a new e-fulfilment operation for Pretty Little Thing in Sheffield. Having launched in July 2018, the site is now fully operational.
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Continuing organic growth on e-fulfilment operations with longstanding customers including Asda, ASOS and Wilko, as well as growth on recent contract wins including Browns and Silkfred.
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Progressed a number of automation projects across the estate, improving efficiency and productivity.
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New contracts in non e-fulfilment, including Sports Direct and Halfords, together with organic gr