Lancashire-based logistics firm Fagan & Whalley has shrugged off the impact of Brexit, Covid-19 and rising fuel costs to report a surge in pre-tax profit.

Reporting annual results to 30 April 2021, it said that although turnover grew by just 2.5% in comparison to the previous year, pre-tax profit was £1,465,293 (2020: £484,862) – an increase of 202.2%.

The gross profit margin increased by 4.6% to 24.1% while retained reserves increased by £867,277 following a dividend of £328,284 to the parent company.

In a review of the transport, distribution and warehousing business, the directors said the principal current uncertainty relates to the price of fuel. However, the company uses variable fuel surcharges to mitigate this risk.

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There is also ongoing uncertainty relating to the longer-term impact of Brexit on its European distribution network and the effect of Covid-19, which has "severely impacted the local economies".

“Expansion of our operations with the opening of a depot at the Burnley Bridge Business Park ensures jobs are created not only for the local area, but also with promotion opportunities internally for employees,” the review added. “The investment in IT infrastructure to link our depots across Lancashire and the Midlands gives solidarity to our operations for the future.

“Health and safety remains at the top of the agenda at all management reviews and is a focus for continual improvement, including topical safety campaigns and focus upon Covid-19 restrictions.

"Annual salary/wage reviews ensure we are attracting and rewarding the best possible employees, who are offered both compulsory and optional training to ensure knowledge and skills are developed.”

Fagan & Whalley announced a company restructure back in January in a drive for growth. This boosted its board of directors from two to six people.