Sales in the transport industry are growing by 6%, down on the 8% growth seen last year, according to Plimsoll Analysis' latest road haulage report. Of the 2,000 companies analysed, 1,335 are holding or increasing sales on last year, but almost half (45%) are making less profit than last year. Some 23% of operators are selling at a loss, while 29% are in more debt now than they were last year.
However, Acumen Logistics has shrugged off the credit crunch, increasing its turnover by 120% from £5.8m to £10.6m for the year ending 31 March 2008 with profit up by 284% from £103,792 to £365,436 for the same period.
John Stocker, business development manager at Acumen, says: "Our biggest chunk of business is growth from existing customers. We have invested in a very high quality team and our customers like the benefits of a smaller company where they can get the attention they want."
Meanwhile, European freight operator RH Group saw a 20% rise in pre-tax profit hitting £3.57m for the year to December 2007. Turnover rose 3% to £122.3m. Managing director Ian Baxter says the challenges of a slowing economy, rocketing fuel costs and a sharp decline in sterling's value against the euro have increased the cost of European transport by more than 20%.
Finally, distribution group NWF saw pre-tax profit fall 27% from £5.8m to £4.2m in the year ended 31 May. Turnover
rose from £298.9m in 2007 to £361.2m in 2008.
NWF chief executive Richard Whiting cites major investments as the reasons for profit loss. Three warehouses were purchased for £19m and 121 extra people were employed. It has bought 60 MANs to complement Boughey's (NWF's distribution sector company) 105-strong fleet.
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