Bowring Transport saw group revenues rise by 13.4% last year, but its haulage division felt the impact of a slowdown in the construction sector, with £930,000 knocked off its turnover.
The Mansfield haulier, which maintains and sells agricultural machinery, equestrian farm feed supplies and provides metal fabrication services in addition to offering freight transport, reported a total turnover of £61.5m in the year ending 31 May 2024.
This was £7.3m higher than in 2023.
Pre-tax profit was £1m, down from £2.2m the year before.
The company said the drop in revenue within its haulage division reflected the environment within construction and it added: “Gross margins remained consistent with the previous year at 25%, which resulted in a reduction in gross profit of £451,000.
“Whilst most overheads have remained controlled and at similar levels to last year, the significant rise in the Bank of England base rate, along with additional borrowings obtained to upgrade the motor fleet, has led to an increase in interest costs of just over £100,000.
“The increased cost of new lorries over the past couple of years has resulted in a large increase in vehicle depreciation costs of £278,000, both of the above resulting in an overall increase in overheads of £328,000 and a subsequent reduction in net profit for this division of almost £780,000.”
