Maxi Haulage saw an increase in turnover in the financial year ending 30 September 2014, continuing its growth streak of recent years. The Irvine-based haulage company, a subsidiary of parent group Maxi Caledonian, saw its turnover increase 10%, from £47m in 2013 to £52m.
The company’s pre-tax profit for the year fell 23%, from £1.8m to £1.4m. However during 2014, spent £2.3m on fleet expansion and replacement along with a further £3.3m on a new depot in Warwick, which may have contributed to the decrease.
Maxi Caledonian saw a similar set of results for the same financial year, with a 13% turnover increase from £56m to £63.5m, but a 22% decline in pre-tax profit, falling from £2.1m to £1.7m.
MD Gerry Atkinson said: “The reason for [Maxi Haulage's] low profitability reflects the industry norm. Costs have gone up and with the recession it has not been possible to pass these on. Increases include new vehicles, particularly Euro-6 are much more expensive, driver wages and holiday pay increases, subcontracting cost and vehicle maintenance.
“We also suffer set-up cost for new business and have gained a lot of new business.”
Atkinson added he is pleased with the company’s results despite the fall in profit: “We have achieved excellent growth and this is continuing and whilst I would obviously prefer better profits this has not been prioritised and it is an industry problem not unique to us.
"Profits will improve, but not yet. We have no borrowing, and finance all growth from our own reserves. Overall I am very happy with the company’s performance."
