Swain faces down financial pressures to boost turnover

The rise in turnover to £77.3m represented a 12.66% increase compared to 2023 and the haulier was able to significantly reduce pre-tax losses to £376,000 during the year ending 28 December 2024 (£2.2m loss), despite facing “multiple financial pressures”.

The transport, distribution and warehousing firm said subcontractor costs had increased by more than £5m due to the rise in new business, which required the use of subbies to service.

Repair and renewals costs reduced by £646,000, a decrease of 49.22% on the previous year. Swain said a major planned schedule of repairs was carried out at its Rochester facility in 2023 and this had now ended.

It said that hire purchase interest charges grew by £329,000 and that the steep rise in Bank of England interest rates and higher borrowing requirements had caused the increase.

However, the company added that it had managed to stabilise its financial performance.

Swain group MD Matthew Deer told Motor Transport: “In 2024 we delivered meaningful progress.

“Turnover grew by nearly £8.7m, gross margin improved and we returned to operating profit, which has increased by over £2m, with improved EBITDA.

“This reflected stronger pricing, better fleet utilisation, and tighter cost control. Planned works helped cut reactive repair costs, we modernised the fleet and our specialist lifting business gained real momentum.”

Deer added: “At the same time, we advanced our low-carbon strategy with investment in eHGV, HVO and charging solutions, reinforcing our offer to customers.

“Despite higher interest costs, we significantly reduced overall losses to £376,000 and have laid the platform for sustainable profitability.

“Goodwill reduced by £278,000 which was purely due to annual amortisation, no impairment was recorded.

“Our focus now is on cash conversion and interest cover so operating gains translate into positive profit before tax and a stronger balance sheet.”