The sale of its Palletforce shares after the purchase of the pallet network last year by EmergeVest sent Farrall’s’ profit soaring in 2015.
Farrall’s, which celebrates its 60th anniversary this year and was a Palletforce founder member, saw a 220% jump in pre-tax profit for the year ended 31 December 2015, from £309,189 to £969,852.
The Chester-based company said its performance had also been strengthened by “significant rationalisation” at the company.
MD Jim Perry told Motortransport.co.uk: “During 2015 a total commercial restructure took place, whereby we exited unprofitable contracts, implemented a new commercial rate structure, renewed long term contracts and focused on greater fleet efficiency within the business.
“In part the contribution of our share sale of the pallet network Palletforce has made a healthy contribution to our improved performance during 2015.”
Perry added that aside from the cash injection from the Palletforce shares, the business was continuing to perform well.
He said: “Despite a very challenging market place, we are starting to feel the benefit of the hard work our team put in place in 2015. Aside from the share sale injection into our business we envisage 2016 being a much improved year for the business.”
The company’s turnover grew 2% in 2015, to £8.4m (2014: £8.2m).
Perry said that the company had reinvested the money into new technology for Farrall’s, including a new website and warehouse automation.
He added: “I am very proud of the achievements thus far and welcome our 60th celebration year in business in September. The Farrall’s Group of staff are a focused, driven and professional team that ensure we remain a tier one logistics provider.”
