- Wincanton, a provider of supply chain solutions, increased its revenue by 4.8% to £1,171.9m in the year ended 31 March 2018, driven by contract wins with IKEA, Hanson, wilko and Wickes.

Underlying operating profit increased by 1.5% to £52.9m, with the strong performance in the Retail & Consumer business partly offset by a more challenging year for the Industrial & Transport business.

As a result, the underlying operating margin of 4.5% is slightly lower than the 4.7% achieved in the prior year.

Underlying profit before tax increased by 11.8% to £46.4m, generating underlying EPS growth of 11.2% to 30.8p.

Net debt increased by £5.2m to £29.5m reflecting the investment in mobilising new contracts during the year.

The board is recommending an increased final dividend of 6.63p per ordinary share, bringing the total dividend for the year to 9.9p (2017: 9.1p).

Adrian Colman, Wincanton chief executive officer, said: "During the year we have successfully grown our business as we have driven our key focus markets of retail eFulfilment and the construction sector. We have also taken action to reposition the cost base and capacity in some of our transport operations and support functions to address the trading challenges we faced within Industrial & Transport in the year and to ensure our business is competitively positioned going forward.

"The robust underlying earnings per share growth of over 11% highlights the benefit of our well diversified operations and customer portfolio and our ability to deliver predictable results and returns for all stakeholders. This platform provides the capacity for future investment to deliver our organic growth strategy and we look forward to making further strategic and operational progress in the coming year."

At 8:12am: [LON:WIN] Wincanton PLC share price was +8p at 274p

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