North Walian haulier FTS Hatswell had an interesting 2014, it has emerged.
The Pall-Ex member said it had to make the decision “that the future long-term value and stability of the company” would be improved by terminating the contract for the collection and delivery work it subcontracted from TNT Express.
According to its filing at Companies House the directors at FTS Hatswell said that this contract work can be terminated at short notice and is not transferable, therefore it was agreed with TNT that it could provide a delivery and collection service under a new contract through a related company.
This related company is Flintshire Transport Services.
It continues to say that a loan of £80,000 was provided to assist Flintshire Transport Services obtain its O-licence and commence trading. Records show that the new business holds an O-licence at two operating centres; one for seven vehicles and 18 trailers and another for 11 vehicles (which is a TNT Express address).
The directors of Flintshire Transport Services are David Broster and David Rothwell, who are also directors at FTS Hatswell.
As a consequence of this move FTS Hatswell said it would see a fall in turnover of about 7.5%, for the financial year-ending this very month (June 2015).
However it believed that it could increase sales on its general fleet and Pall-ex work to off-set the loss of its TNT work.
Turnover for financial year ending 30 June 2014 stood at £7.5m (2013: £7.1m), while pre-tax profit was up to £220,375.
The Hub will be keeping a close eye on the next set of filings from both FTS Hatswell and Flintshire Transport Services (which did not trade in the year-ending 30 June 2014) to see how this decision has affected the business.