Rising driver wages and greater use of agency staff to combat recruitment difficulties contributed to a second year of reduced profit for Felixstowe-based container haulier James Kemball.

Turnover in the year to the end of 31 March 2015 rose just less than 1% to £19.15m (2014: £18.97m), while pre-tax profit slid by nearly 16% to just under £332,000 (£394,000). This follows a more than 50% fall in pre-tax profit a year earlier.

The firm’s directors were unavailable for comment but in the financial report they were satisfied with the results, which “were expected as the company has kept its fleet size the same as in the prior year.”

Although fuel prices fell during the period, the company reported an increase in direct costs, including driver wages. They said: “There has been more reliance on agency drivers as it has become increasingly difficult to attract new drivers.”

The accounts show a £240,000 increase in the firm’s wages and salaries bill for the year; while the average number of employed drivers fell from 115 to 112.

As in previous years, the majority of the company’s turnover was generated in the UK, but overseas sales nearly tripled to £263,000 (£89,000).

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