Jack Richards & Sons sees year of growth but sounds note of caution

Jack Richards & Son increased turnover by 17% last year after benefitting from “a benign market”, according to its MD.

However, pre-tax profit at the Norfolk haulier fell from £1.2m to £988,000 in the year ending 31 May 2018. It blamed this on an increase in administrative expenses.

The Fakenham-based company boosted turnover to £53.7m, an increase of £7.8m on the previous year.

In a statement within the latest financial results, MD Peter Brown said: “Net cash generated from operating activities has increased to £6.3m (2017: £4.9m).

“The directors, whilst optimistic about the company’s foreseeable future, recognise that as a business operating across a broad range of sections, our performance will reflect the overall performance of the economy.

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“In addition, we are concerned about driver shortages and short term inflationary pressures adversely affecting margins in 2018/19.”

In July 2018, the company announced it had left Palletways – of which it was a founding member – and joined rival Palletline, citing the latter’s member ownership model and successful business platform for the move.

Jack Richards & Son was approached for comment.