Archbold Logistics increased turnover by almost 5% in 2025, but pre-tax profit fell by more than a third as the logistics operator faced higher employment costs and continued pressure from the shortage of qualified HGV drivers.
The Heywood-based company has depots in Middleton, Winsford, Scunthorpe and Wolverhampton and specialises in road freight transport and warehousing and storage and has a fleet of around 150 trucks
In its latest annual results the business reported turnover of £30.2m for the year ended 31 December 2025, up from £28.8m in 2024.
The company’s UK operation generated £22.6m of turnover in 2025, up from £21.6m, while turnover from the rest of the world increased from £7.2m to £7.6m, accounting for around a quarter of total revenue during the year.
However, pre-tax profit fell nearly 38% from £1.2m to £728,000.
Archbold’s annual report said the increase in turnover was driven by organic growth from existing customers, alongside the successful onboarding of new customers.
The company, which employs around 140 staff, said the performance reflected continued high levels of customer satisfaction and the reliability of its service.
However, the increase in revenue was offset by “significant cost pressures”, the report said, adding: “The increases in the National Living Wage and employers’ National Insurance contributions have added to the cost base.”
The report also pointed to the continuing shortage of qualified HGV drivers as a key factor, adding that the directors “continue to explore ways to recruit and train new drivers over the medium term”.
Despite the pressure on margins, Archbold said it continued to invest in new vehicles as part of its efforts to improve operational efficiency and limit the environmental impact of growth.
The company said it was investing in the “newest and most up-to-date trucks”, which it said delivered the lowest possible emissions.
Looking to the future, Archbold said it intends to continue targeting profitable sales growth and focusing on markets where it has established leadership, experience and expertise.
The report added that a key challenge would be achieving further growth in an environmentally friendly and sustainable manner.
The company said broader economic conditions, competition and rising inflationary costs remained its principal risks.
Despite the fall in profitability, the directors said they remained focused on moving the business towards its long-term objectives and generating profitable sales growth in the coming years.
