Friday 28th Oct 2016 - Logistics Manager

Clipper profits boosted by e-fulfilment growth

Clipper Logistics saw operating profit from e-fulfilment rise by more than a third in the first half reflecting continued organic growth and contract wins.

In contrast, operating profit (EBIT) from non-e-fulfilment logistics rose by only 12.3 per cent.

These are the company’s first results following its stock market flotation. Chairman Steve Parkin said: “Clipper continues to have a market-leading position in the high-growth area of e-fulfilment logistics, and has seen strong organic growth on existing contracts complemented by the impact of new contract wins.”

Clipper has also acquired Servicecare Support Services Limited for £5.7m cash, extending its returns management operations to include electrical items, in addition to general merchandise and clothing.

“Our Boomerang brand, which specialises in the management of returns, has continued to gain traction, and this will be further enhanced by the acquisition of Servicecare, which enables us to extend the Boomerang service to encompass electrical products, as well as clothing and general merchandise,” said Parkin.

Overall group EBIT was up 28.8 per cent at £5.2m, while revenue was up 20 per cent to £111.6m.