Palletways UK boosted both profit and turnover in the year before it was purchased by Dutch private equity firm Waterland, its latest annual results have revealed.
Turnover increased 10% to £270.7m in the year to 31 December 2025, while pre-tax profit rose 13.5% to £25.1m.
In its strategic report to the results, the company said it remains focused on developing its membership network and providing distribution services across the UK and Europe.
It added that it was well positioned to continue developing its membership and maintaining service levels in a competitive market.
The strategic report also revealed that Palletways is planning to relocate its national headquarters and core operations to a new 640,000sq ft facility at Fradley Park in Lichfield, Staffordshire.
The site is being developed in partnership with Prologis UK and is intended to consolidate Palletways’ operations and provide additional capacity for future growth.
The proposals received planning permission in June this year and the superhub is scheduled for completion in 2027.
Palletways said around 250 existing jobs would be retained in the Lichfield area, with the new facility also providing scope for additional employment.
Turning to its sale this year, Palletways said its operations would continue following the change in ownership in March this year, when Waterland Private Equity acquired a majority stake in the Palletways Group.
At the time of the acquisition the two companies said the acquisition was aimed at driving the network’s next phase of European expansion.
The strategic report also revealed the company had net assets of £43.5m, cash reserves of £7.4m and net current assets of £11.7m. The previous year it reported net assets of £79.8m, cash reserves of £3.2m and net current liabilities of £3.9m.
The company said its financial forecasts indicated it would have sufficient funds to meet its liabilities over the following 12 months, including under a “severe but plausible” downside scenario involving lower volumes, higher operating costs, increased transportation costs, bad debts and deterioration in the stability of its member network.
Founded in 1994, Palletways has its headquarters in Lichfield, Staffordshire, and operates 23 hubs across 25 countries in Europe, handling over ten million pallets annually.
Waterland, which was founded in 1999, has its headquarters in the Netherlands. It manages over €14bn in commitments and focuses on accelerating growth for mid-market companies through buy-and-build strategies.
The company also has investments in the UK in e-commerce fulfilment company QLS and formerly with just-in-time maritime logistics provider Global Transport Solutions (GTS).
In Europe it lists Dutch logistics firms Base Logistics and Logicall, and German logistics provider Duvenbeck among its portfolio of investments.
