Clipper Logistics saw turnover top £500 million for the first time in its history as the 3PL benefited from contract wins, renewals and volume growth in e-commerce.
Group turnover increased 8.8% for the year-ending 30 April 2020 from £460.2 million to £500.7 million, while EBIT rose 19.1% to £24.1million.
Clipper executive chairman Steve Parkin said that growth had been driven by e-fulfilment, and value-enhancing acquisitions made in prior years.
“The impact of government restrictions affected many of our retail clients,” he said, adding that there would be “without doubt” longer term changes to the retail landscape.
“However we are confident that our ability to evolve our solutions to meet client needs will ensure that Clipper benefits from these trends as the shift to online retail accelerates.”
Clipper Logistics “proud to sponsor” Logistics Manager Top 50 Service Providers
In its e-fulfilment and returns management services division turnover increased 18.4% from £233.9 million for the year ended 30 April 2019 to £277 million as it felt part-year impact from customers including Shop Direct, N Brown and Joules as well as full-year impact from boohoo.com subsidiary PrettyLittleThing, Ginger Ray, Levi Strauss, Vestel and Tech Data in the UK.
It also saw volume growth and extension of services on existing contracts including with ASOS, Love Crafts, Zara, Inditex and Browns. EBIT in the division increased 29.9% to £17.6 million.
In non e-fulfilment logistics turnover fell 1% to £143.8 million, but EBIT rose 9.1% to £14.2 million. The division began new activities for Halfords out of the new Crick warehouse, for Sports Direct out of various UK locations, for Levi Strauss out of Northampton and for Neon Sheep out of Milton Keynes – while various contracts ceased in the year ending 30 April 2020, including: Bench (due to liquidation); Links of London (due to liquidation); C&A (due to a Brexit-related relocation); M&S Swadlincote activities (due to the activities being taken in-house by M&S); and Go Outdoors and Whistles (contracts which were not renewed on reaching the end of the term).
Clipper Logistics are one of the sponsors of the 24th Supply Chain Excellence Awards, and entries are still open! For more details contact [email protected]