Grocontinental enjoys 29% boost to profit

Whitchurch, Shropshire-based food logistics specialist Grocontinental has reported a near 29% increase in pre-tax profit for the year ended 31 October 2012 .

Profit increased from £2.08m to £2.68m, which came on a rise in turnover of almost 9% to just over £28.3m (2011: £26m).

Turnover was split almost evenly between the firm's distribution (51.2%) and warehousing (48.8%) activities.

The family-owned firm, which runs 65 tractive units and has 120 temperature-controlled and curtainsided trailers, said its warehouse space utilisation rose from 72% to 90% during the year.

Joint MD David Grocott said the firm was "obviously very pleased" with the results.

"While we were challenged by rising costs and competitive pricing, close management and the improved utilisation of buildings and vehicles made the real difference during the last financial year," he added.

In November, Grocontinental announced it was constructing a new 43,000ft² warehouse on its primary Whitchurch site which is due to be completed this April.

The 13,000 pallet cold store will increase its frozen storage capacity by 10% and will complement a new 8,000 pallet ambient store it opened on the same site in early 2012.