Starting as it means to go on, global logistics operator, Hellmann Worldwide Logistics UK, has finalised its first quarter results. The European Transportation Division has achieved considerable growth with a 20% increase in shipment volumes, despite the strength of the pound pushing up the price of European products.
. An increase of 12.5% in gross profit has also been recorded when compared to the same period in 2010
. The majority of the growth came through sales from the end of last year
. But a general up turn in UK export levels, due to the strength of the Euro and the affect of the devalued pound on British manufacturing, also helped contribute to the increase
. The Hellmann air freight product has also seen a 9% increase in revenue and 12% increase in gross profit, resulting in a positive operating result for the first quarter due to a continued focus on export development
. Ocean freight has seen an increase in the net operating result
. Overall, Hellmann UK has seen revenue increase by 7.5% and gross profit by 10% when compared to the first quarter last year
Andy Connor, Managing Director of Hellmann UK, said:
As the Austerity Budget starts to bite, the future for the UK's growth prospects is unclear. Whilst the first quarter was a very positive start to 2011 we're still uncertain as to the direction the rest of the year will take. We're quietly optimistic but suspect the Government cuts will mean the high street will be stagnant until the fourth quarter.
He continued:
We're particularly pleased with the European Transportation results because European products are now more expensive than they were two years ago. We're hoping that the air freight trends continue into the back end of the year despite it being linked to the (luxury) supply chain product, and are thrilled to see the fruits of our labour with ocean freight, where margins have been stable for five months despite a challenging six months in 2010.