Profits soar at Chippenham logistics company

Wincanton

Chippenham-headquartered logistics company Wincanton expects its full-year underlying profit before tax to be significantly ahead of current market forecasts and not less than £30 million.

Assuming, of course, there is no further COVID-19 impact that severely reduces its volumes from current activity levels.

In a statement issued today ahead of its AGM, the company said this was thanks to the combination of strong new business performance, early cost intervention measures and the recovering economy.

There have been improved levels of demand across most of the business, particularly in home delivery operations and eFulfilment, although volumes in some areas, including construction and fuel distribution, remain below prior year.

The company recently announced two significant new contracts: a transformational eFulfilment contract with Waitrose for home delivery in London; and a contract with Morrisons to manage additional distribution, vehicle maintenance operations and national transport planning services.

It has also secured the contract to operate a fifth Screwfix distribution centre and a two-year extension of all its transport and warehousing services with Asda.

Wincanton CEO, James Wroath, said: “I would like to thank the team again for their extraordinary efforts throughout the COVID-19 crisis, and the inspirational way they have demonstrated resilience and agility in delivering for our customers.  Despite the challenges COVID-19 has presented us, the Group has been successful in winning new business and renewing existing contracts, positioning us well for future growth”.