Circle Express back in profit after move to fleet HP agreements

Cost-saving initiatives helped nudge Circle Express into the black last year, after it reported a pre-tax profit of £26,000.

The express delivery company also saw turnover fall from £29.2m to £28.9m in the year ending 31 March 2019.

However, it returned to profitability after reporting a pre-tax loss of £595,000 in 2018.

In its review of the business, Circle Express said that at the end of the trading period it had made a “major investment in vehicles, moving away from operating leases to HP agreements for a major proportion of its fleet.

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“This change should further reduce the operating costs base of the company and increase future profitability.

“Further cost reduction initiatives are planned for the next financial year.”

The directors did not respond as we went to press.

Circle Express is controlled by Rico Logistics, the immediate parent company.