Laser Transport International made a £3,579 pre-tax profit last year as it continued to battle against a weak pound trading 13% lower against the euro than in 2016.

The Hythe-based company reported a turnover of £17.3m for the year ending 31 December 2018, compared with the previous year’s £17.4m

The company’s principle activity is worldwide transport and freight management, including aerospace haulage and it has been particularly affected by the UK’s decision to leave the EU.

Its pre-tax profit was down £16,607 in the same period a year earlier, but it said it had delivered “a much better trading performance” during the year ending 31 December 2018, despite a poor first quarter.

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In its business review, the company noted that operating profit had improved by 135% to £181,130, excluding pension past service costs of £250,000 and a director’s gift – a new low loader – of £116,994.

It added: “The core European groupage activity remained robust, even throughout a normally poor August, and trading with Germany, France and Italy was strong.

Brexit

“Ever since the EU referendum in June 2016 the weak pound against the euro has hampered our results and this was also the case in 2018, with the pound trading 13% lower in June 2018 compared with June 2016, making trailer costs and European partner/agent costs that much more expensive.

Brexit stamp

“The ongoing uncertainty surrounding Brexit has not been helpful.”

It said it contained exchange fluctuations to an extent by reciprocal trading with most of its partners in euros and it also generated compensating revenue with a currency adjustment factor surcharge on sales in sterling:

“Beyond that, we make substantial purchases from European suppliers every month, accordingly are heavily exposed to currency fluctuation and efforts to mitigate risk by forward buying have had little success,” it added.

The company did not respond to a request for comment.

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