Maritime Transport saw its pre-tax profit rise by over 40% in 2022 but “energy and inflationary pressures” saw volumes reduce towards the end of the year, according to its latest financial results.
The Felixstowe-based company provides integrated road and rail freight logistics, with services ranging from container transport and storage, domestic distribution, warehousing, and freight management, to truck sales.
Its latest financial results for the year to 31 December 2022 reveal turnover rose 16% to £482.3m, up from £416m in 2021, with pre-tax profit leaping 42% from £28.3m in the previous year to £40.1m in 2022.
In its strategic review to the results the directors said that business levels increased “significantly” in 2022, compared to the prior year, through winning work with existing and new customers and through its continued growth in international rail terminals and distribution.
The review added that whilst Maritime Transport’s transport and logistics sector continued to benefit from additional volume, as a result of Covid-19, this growth had started to reduce towards the end of the year, as energy and inflationary pressures started to affect consumer spending.
The availability of components also created pressures, resulting in delays to new vehicles coming on fleet, which, along with energy and inflation, increased the firm’s cost base “significantly”, leading to higher rate increases to its customers.
On the upside, the supply chain issues also “created significant demand” on the company’s second hand vehicle sales operation, “which contributed to our annual results”, the review noted.
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Maritime Transport’s review of its distribution business in the previous year reaped benefits in 2022, resulting in additional volumes in the sector, the company reported.
Turning to the company’s multi-modal activities, the review added that a previous trial of converting domestic cargo from road to rail had been “extremely successful”, resulting in further carbon savings.
It added that it is also making “significant ongoing investment” in new and existing rail terminals and depot infrastructure and continuing to upgrade its fleet.
The company also revealed that it made a donation of £100,000 in the year to the British Red Cross Ukraine appeal.
Looking ahead the company said its cash position “remains very strong, enabling the business to continue to grow and invest in future opportunities. Balance sheet equity has increased from £77m to £110m and the directors are very pleased with the result.
“It is entirely anticipated that volumes could reduce moving into 2023. But there will continue to be opportunities in the marketplace which we’re very well positioned to take advantage of.”
Asked to comment on its results Maritime Transport spokesman said the company did not have any additional updates to provide at this time.
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