StockMarketWire.com - John Menzies has made a good start to the year and is trading in line with directors' expectations, but sounded a note of caution on its Menzies Distribution unit.

Overall, both Aviation and Distribution divisions were progressing well with their strategic and operational agendas.

Menzies Aviation is trading ahead of last year with revenue growth in the period up 7% at constant currency.

Absolute ground handling turns are up 4% reflecting continued contract win momentum. Following a very strong prior year, cargo volumes have reduced and are down 2% on a like for like basis.

"In February, we completed the acquisition of Renaissance Aviation in Bermuda which has a five year exclusive licence and we will provide a suite of aviation services to a number of international airlines," Menzies said in a statement.

Contract win momentum has continued with ground and cargo handling contracts gained and renewed. Notable new contracts include British Airways in Copenhagen, Virgin America at their hub in Los Angeles and we have also secured preferred supplier status with Singapore Airlines.

Within Menzies Distribution, the sales decline in print media remains similar to that experienced in 2015, at 4% for the period.

"In the period the acquisitions of Oban Express and Thistle Couriers were concluded and are integrating well. We continue to identify further business opportunities in the e-fulfilment market."





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