Massey Wilcox Transport has become the latest haulier to speak out against the "relentlessly spiralling" cost of fuel as it posted its results for the year to May 2007. Operating profit at the South West firm rose to £706,764 - up from £417,503 in the previous year, while pre-tax profit also increased, to £302,050, compared with £260,342 for the previous 12-month period. However, turnover dropped slightly to £10.5m from £10.8m in 2006.
Robert Wilcox, Massey's managing director, tells MT:
"It's difficult being upbeat about the immediate future with the industry's major cost - fuel - relentlessly spiralling upwards.
"The effect of this on its [the industry's] slim margins is not difficult to imagine. Who in their right mind would be happy with these low returns, for such tremendous effort in, to say the least, a difficult industry? The only consolation is we don't have to hand too much back to the chancellor in corporation tax," concludes Wilcox.
Despite saying the company has no acquisition plans, Wilcox adds that it would look at expansion "if an opportunity presents itself and fits well with existing business". Although he would not reveal specific names, Wilcox says the company has won new business during the past 12 months and has "other irons in the fire" for the coming year.
Reed Business Information Limited.©2008
