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9 Sep 2020 07:00
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9 September 2020
Wincanton plc
("Wincanton" or the "Group")
TRADING UPDATE
Strong Group performance driven by Digital and eFulfilment
Wincanton plc, the largest British third-party logistics company, today announces an update on its trading performance in the period since its AGM Trading Update on 22 July 2020.
The Group has seen a continued improvement in profitability in July and August, with a particularly strong performance in Digital and eFulfilment.
The Digital and eFulfilment business is benefitting from an increase in demand for online retail, with revenue significantly ahead of pre-COVID-19 levels. Volumes in the two-person home delivery business within this sector have remained high through the summer months. Furthermore, operational efficiencies have led to an improvement in operating margins in Digital and eFulfilment.
Performance across the rest of the Group is encouraging, supported by changes to the cost base implemented earlier in the year in the face of challenging external conditions.
The balance sheet remains healthy, with strong cash collection and a robust working capital position.
Given the combination of Wincanton's improved trading performance, cost intervention measures and the recovering economy, the Board expects results for the current year to be materially ahead of market expectations. This continues to assume no further COVID-19 impact that severely affects the business.
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For further information please contact:
Wincanton Plc Tel: +44 12 4971 0000
Tim Lawlor, Chief Financial Officer
Headland Tel: +44 20 3805 4822
Susanna Voyle/ Henry Wallers/ Jane Glover
E: wincanton@headlandconsultancy.com
Notes to Editors
About Wincanton
Wincanton is the largest British third-party logistics (3PL) company, providing supply chain solutions to some of the world's most admired companies across a wide range of industries including retail, construction, defence and energy.
As a trusted and respected business partner, we design and implement services and solutions that range from setting up and operating distribution networks, through to bonded warehouses, technology hosting, container transport and storage. We strive for operational excellence in everything we do.
We work hard to understand and respond to our customers' needs, build long-term relationships and use our skills and expertise to deliver a smarter, added value service, every day. Our customers rely on us to make their businesses operate more efficiently and to gain a competitive advantage in their sector.
Key facts:
• 19,100 colleagues
• 200+ locations
• Responsible for 3,500 vehicles
• Revenue £1.1bn
• 5,500 drivers
• 14m sq ft of warehousing space
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