The UK division of XPO Logistics Europe, formerly Norbert Dentressangle, will "ramp up" even further in 2016, after "strong demand" saw turnover rise 16% year-on-year.
Reporting its results to the year ending 31 December 2015, the company said the UK division saw turnover increase 16% year-on-year from €1.34bn (£1.05bn) in 2014 to €1.6bn (£1.2bn) in 2015. The UK accounts for 28.7% of XPO's overall turnover.
XPO Logistics CEO Bradley Jacobs told analysts the UK division was experiencing “strong demand” with performance well above expectations and promised the business would “ramp up” even further in 2016.
He also revealed plans to grow the European sales team significantly this year and a review of “unprofitable locations” in Europe.
“The cost savings opportunities in Europe are significant and we enter 2016 with a lot of momentum,” Jacobs added.
Across Europe turnover rose by 16% to €5.42bn in 2015, while earnings before interest, taxes, depreciation and amortization (EBITDA) was €267.1m, or 4.9% of revenue.
The figures include €88.4m of non-recurring expenses, such as transaction and integration costs related to XPO Logistics’ acquisition of Norbert Dentressangle in June 2015, as well as restructuring costs and other non-recurring items. Adjusted EBITDA for 2015 excluding non-recurring expenses was €355.4m.
Troy Cooper, XPO Logistics Europe CEO, said: “The company’s strong 2015 performance was anchored by its first six months as part of the global XPO Logistics organization. Our transport solutions and supply chain business units both outperformed expectations, achieving their best results ever.”
He added that high levels of customer service and a strong sales momentum “will enable XPO Logistics Europe to take advantage of growth opportunities across all of our business units and operating regions" in 2016.
