Boughey Distribution’s parent company NWF Group says trading for the year ended 31 May has been in line with expectations.
However, its food division, which incorporates the activities of Boughey Distribution, has experienced a weaker second half, which NWF says reflects lower volumes stored in the business.
Nevertheless, the division’s profit contribution is expected to be ahead of expectations when the full-year results are announced on 14 August.
NWF’s fuel distribution business has suffered a “disappointing” year, which the group attributes to a mild winter combined with record high oil prices and a challenging economic environment.
The trading statement adds that the business’s focus on “prudent cash management” has enabled NWF to reduce its net debt level.
Richard Whiting, chief executive, says: “As previously indicated, we have experienced difficult market conditions, particularly in fuels. We will, however, deliver results which are in line with the board’s expectations for the full year, with lower levels of debt than previously expected.”
For the year ended 31 May 2011, Boughey Distribution revealed an increased turnover of £44.7m from 42.6m the previous year, and a pre-tax profit of £577,000, down on 2010’s £1.3m.
