The transport arm of the Hargreaves Group saw its profit almost halved in the year ending May 31 2015, after the sale of Imperial Tankers to the Suttons Group last autumn.
The group’s preliminary 2015 results show a 48% decrease in pre-tax profit compared with the former year, with a fall from £3.5m to £1.8m. Turnover in its transport arm decreased 23% from £89m in 2013 to £68.3m too.
However, if Imperial Tankers' contribution is stripped out, then turnover from continuing operations within Hargreaves' transport arm was actually 3% up year-on-year at £61.3m.
The group sold Imperial Tankers last year as part of a larger “group simplification programme” in a £26.9m deal that saw the Widnes-based Suttons Group acquire 200 trucks and 350 tanker trailers, bringing its tanker fleet to more than 700.
At the time, Hargreaves chief executive Gordon Banham, said: “I am pleased that the business has been sold to a high calibre operator who is seeking to invest in expansion and is well placed to drive synergies from the business, which the Hargreaves Group is unable to access.
"This is a good outcome both for the Group and for the management and employees of Imperial Tankers.”
Following the sale, Hargreaves transport deals mainly with dry bulk haulage, but said it hoped to increase its market share in biomass transportation.
Banham said: “Our transport business will remain focused on the transport of bulk materials. We will remain open to opportunities to gradually expand our geographical coverage within the UK and will target further market share in the growing biomass markets.”
