Knights of Old has said it expects to “reap the benefits of larger economies of scale”, after a full year of trading incorporating its 2013 acquisition of AE Parker saw pre-tax profit and turnover rise.
For the 12 months ending 31 May 2014 turnover rose to £47.4m, up from £44.6m in the previous financial year, while pre-tax profit increased to £1.15m, compared to £1.149m in 2013.
A total of £40.2m of that turnover is derived from the UK, with £7.2m generated overseas. The Kettering-based haulier has a partnership with German operator Transland Spedition.
The directors’ report, filed at Companies House, notes that it invested £3.7m during the year as part of its “continued programme of fleet renewal and expansion”.
It also points towards wider economic indicators of its performance during the year, stating that gross margin for the group strengthened to 20%, from 19.7% in the previous year, while the “plough back of profits after interest, tax and dividends” resulted in balance sheet net worth increasing from £5.1m to £6.4m.
In March 2014 Knights of Old signed a £1.5m, three-year contract with Virani Foods, which sees it transport 15,000 pallets a year throughout the UK.
In recent years Knights of Old has been particularly acquisitive, merging with Mainland Group at the end of 2011 – a move which led to a 38% increase in turnover between financial years 2012 and 2013 – and the aforementioned acquisition of West Sussex-based AE Parker Warehousing and Distribution in April 2013.
The board also repeated its commitment to “continue to look actively for further acquisition opportunities in order to provide the group with further growth”.
