Profit and turnover up at Denby Transport

Denby Transport saw its pre-tax profit rebound, up 60% year-on-year, but says the high price of fuel has continued to reduce margins at the Lincolnshire-based haulier.

The company, which has an O-licence for 60 vehicles and 130 trailers, saw turnover rise 9% for the 12 months ending 30 April to £7m, from £6.4m a year ago.

MD Peter Denby says that while the results were better than last year it did include some exceptional items, including deferred taxation on its assets.

“We are still nowhere nearer where we were in 2008,” he says. The haulier posted a turnover of £8m that year. “But there are a lot of companies which have shrunk.”

Results filed at Companies House reveal that direct costs, including fuel, at Denby Transport increased by 13.7% leading to a fall in gross margin of three percentage points (from 18.3% to 14.9%).

Denby admits that margins are “always a focus” but the improved financial performance was the result of increased customer volumes in the year.