Rhys Davies

Rhys Davies & Sons saw turnover rise by 3% last year to £39m thanks to growth among customers in the housing market and the food products sector.

IT and restructuring activity led to a 21% reduction in pre-tax profit to £318,657, but the Cardiff-based logistics and warehousing company said its technology investments rolled out in early 2018 would boost operational efficiency.

In its financial report for the year ending 31 August 2017, the company said a continuing shortage of drivers was being exacerbated by Brexit.

The company, which trades as Rhys Davies Logistics, said the risks of withdrawing from the EU that it identified in 2016 of uncertainty, a lack of confidence, the impact of trade tariffs and immigration policy, remained a “palpable threat” to haulage and the wider economy.

However, it added: “Any challenge also brings opportunities for those in a position to take advantage of the same and the directors remain focused on ensuring the company is in the strongest possible position to endure the challenges of an uncertain future.”

The company did not respond to a request for comment.