12th Nov 2015 09:23
LONDON (Alliance News) - Supply chain services company Wincanton PLC posted an marginal uptick in pretax profit for the first half as revenue was buoyed by contract wins and renewals.
Wincanton said its pretax profit for the half to the end of September was GBP12.9 million, up from GBP12.7 million a year earlier, as revenue increased to GBP582.8 million from GBP550.9 million.
The group won a series of new contracts over the course of the half, including a five-year deal to manage the distribution centres of B&Q, the DIY retailer owned by Kingfisher PLC, a three-year transport logistics contract with bikes and car parts retailer Halfords PLC, and renewed contracts with food companies HJ Heinz and Dairy Crest Group PLC.
Wincanton said the contract logistics market remains strong and is said it is well-positioned to win further contracts. It is trading in line with its expectations for the full year and said net debt for the full year will be lower thanks to the sale of its records management business to Restore PLC.
The company will not pay an interim dividend as it said it remains focused on reducing its debt obligations.
Shares in Wincanton were down 1.0% to 203.00 pence on Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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