3rd Mar 2020 11:22
(Alliance News) - DX Group PLC on Tuesday said its loss narrowed sharply in the first half of its current financial year amid restructuring of its DX Freight unit.
The courier and logistics company reported a pretax loss of GBP2.4 million for the six months to December 28 compared to the GBP5.3 million loss reported for the half-year to the end of 2018, as revenue rose to GBP170.1 million from GBP157.0 million.
DX explained that its improved performance was driven by the ongoing turnaround at DX Freight, aimed to improving commercial processes, customer service and productivity gains. As a results, revenue in DX Freight grew by 11% over the period to GBP86.9 million.
In the DX Express unit, meanwhile, revenue was 5% higher year-on-year, at GBP83.2 million, with the 'one-stop' mail delivery service to legal customers to be launched soon, the company noted.
"The hard work of the last two years is continuing to pay off, as the significant improvement in these first half results show. The key factors driving the improvement are higher levels of customer service and operational gains from better delivery productivity and more efficient trunking and sortation across the network," explained Chair Ronald Series.
"Trading in the second half is marginally ahead of the same period last year," Series continued. "We expect the group to return to pretax profit this financial year and it remains well positioned to continue to grow profitably in 2021 and beyond."
AIM-listed DX shares were trading 6.7% higher in London on Tuesday at 12.00 pence each.
By Evelina Grecenko; [email protected]
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