APC Overnight blamed changing types of freight for the dip in pre-tax profit that it saw in the last financial year.

The parcel delivery network saw its profit drop by 31% in the year ended 31 March 2015, falling from £3.5m to £2.4m.

APC chief executive Jonathan Smith (pictured) told Motortransport.co.uk that this was because of “significant changes in the market” which saw members having to deal with “a greater variety in traffic”.

“The simple reality is that larger, heavier freight is more difficult to move, and this increases the cost to our business,” Smith said.

“In light of this, we have taken action to address the mix of traffic in our business and are very confident that profits will increase over the next two financial years, taking us into 2017.”

The year also saw APC complete an upgrade on its Cannock hub, and the company said the cost of running the operation over multiple sites while the work took place also ate into its profit.

Despite the fall in profit, APC saw its turnover grow by 11.5% to £98.8m (2014: £88.6m).

Smith said that the company is currently reviewing its operational structure, which sees independent carriers opt in and pay a percentage of their turnover to be a part of the APC brand.

“We are exploring a number of possibilities, including the introduction of regional hubs in the north or south or the country,” he said.

APC currently has hubs in Cannock and Essington.