Pandemic slows Fred Sherwood profit surge

Fred Sherwood & Sons (Transport) saw revenues grow by 2% to £34.6m last year, but the bulk haulage firm said Covid-19 had since had an adverse impact on the business.

Accounts for the Leicestershire family firm, for the year ending 31 March 2020, showed that pre-tax profits also increased by 22.4% to £762,000 after an unrealised gain of £150,000 on revaluation of investment property.

The company added that its property portfolio continued to provide a steady income return.

In its review of the business, it said: “The company has continued to invest heavily in revitalising the fleet with investment in lorries and trailers of over £2.9m.

“During the year, properties valued at £4.7m were transferred to the parent company, Fred Sherwood Group, by way of a dividend in specie.”

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It added: “The company is focused on investing in driver training and technology to achieve efficiencies, reduce the risk of incidents and reduce its environmental impact.

“The directors are mindful of these responsibilities and are pleased with the progress made during the year in these areas.”

The company said that in common with many other businesses, its trade and operations had been impacted by the coronavirus, although it had continued to provide haulage services throughout the pandemic.

“Whilst the impact of Covid-19 continues to develop on a daily basis, the directors have taken a number of measures to monitor and prevent the effects of Covid-19,” it said.

“These include continuing to follow central government guidance and introducing health and safety measures including social distancing and deep cleaning of offices to mitigate the risk of the virus to employees.”

The company did not respond to comment.