Parcels group DX swings to a profit
Parcels delivery and courier group DX has swung to an annual profit, led by very strong performance in its freight division amid higher delivery volumes.
DX, which has sites in Willenhall and a DX Courier base in Tipton, has reported pre-tax profit of £10.6 million for the 53 weeks to July 3, 2021, compared with a £1.34 million loss a year earlier as revenue jumped 16 per cent to £382.1 million.
Revenue growth was primarily driven by very strong performance at DX freight, which reported growth of 32 per cent.
Despite ongoing trading challenges, including HGV driver shortages and global supply chain disruptions, the firm said it remains confident of further progress and continues to win new business and increase its market share.
Lloyd Dunn, CEO of DX Group, said: "Results are significantly ahead of our original expectations, and we have achieved a key milestone of full year statutory pre-tax profits, in line with our turnaround plans set in 2018.
"DX Freight fuelled this excellent performance while DX Express was significantly impacted by coronavirus restrictions, which affected our legal and high street activities in particular, although the division's parcels operations grew significantly.
"Despite the ongoing challenges, including driver shortages and global supply chain disruptions, we remain confident of further progress over the new financial year. We have now launched a second major capital investment programme of between £20 million to £25 million to be invested over the next three years to support our growth plans. We believe DX remains well-placed to continue to increase its market share."
