Eddie Stobart revenues rev up by more than a third

Annual revenues at Eddie Stobart Logistics grew by more than a third to beat market expectations after a strong performance from its acquired subsidiaries.

For the year ended 30 November the transport and logistics group’s revenue came in at approximately £843m, up 35% on the year before, and revenue excluding the contributions of acquired subsidiaries, iForce, Speedy Freight and The Pallet Network (TPN), climbed by 18%.

The growth reflects "significant and broad-based growth across all our sectors", the company said, with £162m of new contract wins during the year, organic growth within the existing customer base and continuing strong performance by the acquisitions.

The AIM-listed company added that it had invested in its transport operations, warehousing network and technology to support future growth plans, clocking up net debt of £154m, up from £109.5m at the same point last year.

Finally, underlying EBIT for the period was broadly in line with market expectations, while margins improved in the second half following costs incurred in the first half in implementing major new customer contracts and are expected to improve further in 2019.

Eddie Stobart’s shares were up 3.38% at 107.00p at 0844 GMT.