DPD UK turnover passes £1bn mark but profits slip

Turnover at delivery giant DPD Group UK passed through £1bn last year.

The MT Award winner said it had continued to invest in its infrastructure and it was building larger distribution centres in order to offer the capacity demanded by customers.

For the year ending 29 December 2019, the domestic and international parcel delivery company reported a 5.6% increase in turnover to £1.39bn, although pre-tax profits slipped by 3.8% to £158m.

It said the largest share of its revenue came from next day parcels, although it experienced growth in turnover in its premium, international and specialist value-added services too.

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DPD said Brexit was causing uncertainty and posed “a potential risk to the projected growth rates of our international business.

“In light of this, the company has made significant investments in its people, processes and technology to ensure it is ready to meet any Brexit outcomes,” it added.

However, the company has so far managed to ride the wave of Covid-19 and said it had not had to take advantage of the government’s support schemes and was trading ahead of its pre-pandemic levels.

Earlier this month, the company said it was aiming to cut its final mile emissions by 89% in 25 cities across the UK by 2025 through the use of zero or low-emission vehicles.