3rd Oct 2023 11:03
(Alliance News) - DX Group PLC on Tuesday reinstalled payouts after annual profit surged on the back of revenue growth led by sound customer retention levels.
The Slough, England-based parcel delivery company said pretax profit in the financial year that ended on July 1 jumped 46% to GBP25.4 million from GBP17.4 million. Revenue climbed 10% to GBP471.2 million from GBP428.2 million.
DX noted "strong" customer retention levels and new customer wins. Further, it highlighted that two new depots were opened at Paisley and West Bromwich, and two depots were expanded at Plymouth and Heathrow.
The company proposed a final dividend of 1.0 pence per share, bringing the total to 1.5p per share, up from no dividend in financial 2022.
Looking ahead, DX said that financial 2024 trading is in line with its own expectations. It expects its final year of a three-year GBP20 million to GBP25 million investment programme to be completed in the current financial year, alongside a construction of a new regional hub in Nottingham for GBP12 million.
Chief Executive Officer Paul Ibbetson said: "We have invested across all areas of operations - including the depot network, parcel handling equipment, electric vehicle fleet and IT - and this will continue in the new financial year. We are mindful of the current economic headwinds, however, given the strong platform that we have established and the encouraging levels of new business that we have secured in the opening months of the new financial year, we look forward to another year of further progress."
DX shares were 0.6% higher at 43.27 pence each on Tuesday morning in London.
By Tom Budszus, Alliance News reporter
Comments and questions to [email protected]
Copyright 2023 Alliance News Ltd. All Rights Reserved.
Related Shares:
DX..L