Reed Boardall said it was entering calmer waters after a choppy few years following the publication of its latest financial results showing pre-tax profits had increased to £2.51m.
The temperature-controlled food storage and distribution company said it was consolidating its strong presence in the market after turnover in the year ending 31 March 2024 also increased, by 3.2% to £91.7m.
It said the increase in net profit to 1.9% of revenue compared to 1.1% in the previous year was achieved despite a highly competitive market, as the business drove up volumes at its 168,000 pallet-capacity single site in Boroughbridge, Yorkshire.
Reed Boardall added that having completed a multi-million-pound project in 2021 to expand capacity and create “the most extensive and modern cold storage facility in the UK,” it was now seeing utilisation volumes, turnover and profit increase across all areas of the business.
Demand for the group’s ancillary services, such as blast freezing, picking and packing, also grew.
Marcus Boardall, chief executive of Reed Boardall, said: “After a tough few years which saw the industry reeling from the impact of Covid and then spiralling costs, we are now seeing the business entering calmer waters.
“It’s gratifying to start to realise the benefits of our significant investment in increasing capacity and strengthening our single site model.
“While it continues to be a dynamic market with some of the major players moving between logistics providers, we are finding that the strength of our reputation for delivering product on time, every time, is attracting new customers as well as helping us to retain or expand our existing contracts.
“Having served the country’s leading food retailers and manufacturers for over 30 years, it’s reassuring to see that customers are continuing to prioritise quality of service and seeking a reputable long-term cold storage and transport partner.”
The company’s group finance director, Sarah Roberts, said that the increase in volumes meant the business expected to be operating full utilisation of its cold storage facilities by the end of its current financial year in the spring: “During 2024, we have been less affected by labour shortages, largely due to the success of our inhouse driver training academy which has resulted in 80 new HGV drivers qualifying since our scheme began,” she said.
“We are continuing to invest in developing our dedicated team which is at the heart of our ability to provide exceptional service.”
