Wincanton on track for profit growth

Wincanton says it is making good progress this financial year in its strategy to return to “sustainable profit growth”.

An interim statement issued today (26 July), for the period commencing 1 April, reveals the logistics giant has traded in line with expectations and with a strong new business momentum.

In particular, Wincanton has won an “important” new multi-channel contract with Kiddicare, secured a new deal with Rolls Royce, as well as scooped shared-user warehousing business with The Retail People and Ella’s Kitchen.

In addition, new transport contracts have been signed with Cemex and Smyths Toys, plus key renewals made with Dairy Crest, AvantiGas, Neal's Yard Remedies and Superquinn.

Wincanton adds that the retail sector continues to be competitive, yet despite this, it has won new business with major retailers including Asda and Sainsbury’s.

The group says it has continued to perform well in the defence sector and in its specialist Pullman and records management businesses, however market conditions continue to impact volumes in the container sector. Wincanton also adds that while is has been successful in winning new business, volumes in the construction sector remain depressed.

Eric Born, Wincanton chief executive, says: “We have started the year well and are on track to deliver our plan. Despite a challenging economy, we continue to make good progress along our path to return to sustainable profit growth.”