Stobart’s Transport & Distribution division had a steady start to the year despite lowers volumes from some FMCG customers in the first quarter. But, “with reasonable weather over summer, this trend should be reversed, benefitting the business,” the group said in its interim statement.
“Expectations for the business for the full year remain in line with forecast. Work has continued to achieve further efficiencies in Stobart Automotive including the closure of the head office and roll-out of the innovative semi-trailer.”
In the Biomass division, tonnages as well as revenues and profits per tonne are ahead year on year.
Overall, the group said it remained confident of delivering strong returns for shareholders over the coming years as its four year strategy (2011-15) moved from the investment phase to optimisation.
“We have had a satisfactory start to the year with a solid performance in the transport business and there are positive developments in the growing businesses. Delivering on our medium-term value expectations for the Air and Biomass businesses requires us to drive volume through them and there is work to do, particularly in the Air division, to maximise revenues.”