21 Jan 2011 07:00
For immediate release, 21st January 2011
Stobart Group Limited
Trading update
21 January 2011
Stobart Group ('Stobart' or 'the Group'), one of the UK's leading providers of multimodal transport logistics solutions, is issuing its Interim Management Statement covering the period from 20 October 2010 to the current date.
The Group continued to deliver an excellent service through the busiest trading period of the year leading up to Christmas, but has incurred some exceptional costs in the region of £1.5m as a result of the impact of the extreme adverse weather on the transport sector during this time. These costs aside, the Board is confident that it will meet its expectations as indicated in the Interim Statement.
Overall, the performance of Stobart continues at a rate significantly ahead of the same period last year. In addition, we have secured the majority of our revenue expectations for the next financial year.
The Group is pleased to report the following highlights since the Interim Statement in October:
·; Strong growth in revenue from the new business announced in the first six months including Tesco Widnes, A G Barr and Tesco Ballymun;
·; In December Stobart started to transport volume for Tesco's Milton Keynes operations;
·; Biomass volumes have increased ahead of expectations with a significant export operation underway;
·; The rail civil engineering business completed three major projects over the Christmas period, despite the extreme adverse weather conditions;
·; London Southend Airport railway station is planned to open over the coming weeks prior to the commencement of passenger flights;
·; Work has commenced on the new terminal building and runway in line with the development timetable;
·; A revised planning application has been submitted for the development of Carlisle Lake District Airport, including the relocation of Stobart operations onto one purpose built site.
Our expectations for the coming months include:
·; Continued growth in revenue and profitability for our transport and distribution operations;
·; Management of the Britvic contract commences on 1 February and volume will build over the following two months;
·; Expansion of our Irish operations around the new business secured;
·; Commencement of flights from London Southend Airport in March with Aer Arann;
·; Announcement of new routes and operators for the Airport;
·; New contracts and volume for Stobart Biomass Products.
The Group will announce its full year results, for the year ended 28 February 2011 on Wednesday 11 May 2011. Details of the location and time for the analyst presentation will be announced in due course.
21 January 2011.
ENDS
ENQUIRIES:
INFLUENCE 0207 2879610
James Andrew 07772 534 985
Stuart Dyble 07599 835 700
Stobart Group 01925 605400
Ben Whawell, Chief Financial Officer
Andrew Tinkler, Chief Executive Officer
About Stobart Group
Stobart Group is listed on the London Stock Exchange in the FTSE250 (LSE:STOB),
and is the UK leader in multimodal transport and logistics solutions. It is one of the most recognised and strongest brands in Britain, best known for its iconic Eddie Stobart trucks. Today, Eddie Stobart is the name behind a road haulage fleet totalling 1,850 trucks and over six million square feet of cutting-edge warehousing facilities. By size, Eddie Stobart has the best vehicle utilisation in the industry, helping to maximise efficiency and environmental benefits.
The Group has pioneered several environmental initiatives in the industry such as modal shift from road to rail with the Stobart Rail low-carbon service that brings fresh produce into the UK from southern Europe via the Channel Tunnel. Stobart is also innovating with the creation of Stobart Biomass Products Limited, a new venture with A.W. Jenkinson - the UK leader in biomass fuels. This positions the Group at the heart of the fast growing and transport intensive market for renewable energy.
Stobart Group employs over 5,000 people in 40 different locations, offering multimodal logistics solutions to customers across Europe through the Stobart Rail, Stobart Ports, Stobart Air and Eddie Stobart Divisions. The Group is fast developing these divisions into industry leaders, and by developing assets such as London Southend Airport, Carlisle Lake District Airport and Mersey Multimodal Gateway in Widnes, is creating new business for the Group's core transport and logistics operations.
www.stobartgroup.com