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Corby, Northants-based RCS Logistics has bucked the trend of falling profits among smaller operators after two years of disappointing results. The company reported pre-tax profits of £303,497 for 2007 and points of a back to basics approach as the reason for the success. Andy Barnes, financial director at RCS, says: "We've looked at how we can better serve our customers and tackle any issues they may have. We've also looked at our own organisation  and identified areas where we need to improve."

"Strict cost control is also crucial," Barnes adds. RCS has also introduced a fuel price escalator into its contracts and adjusts its prices accordingly on a Monday morning. "There have been some staff cuts," Barnes admits, "but we're now starting to look at building the numbers up again." During the year, RCS won contracts with Sainsbury's, Avon Cosmetics and Belgian company Verhaeghe.