City Link cuts losses
City Link made a loss of £14m for the year ending December 2013, an improvement on the £27.5m loss it reported the previous year.
These results mark the first from City Link since its £40m acquisition by Better Capital in April 2013.
It said the loss was the result of difficult trading conditions and a £36m reduction in revenues following its decision to step back from loss making accounts.
Dave Smith, City Link CEO, said: “City Link remains a business in turnaround, and our results for 2013 represent a great step forward on that journey.”
Since acquiring City Link, Better Capital has invested in the development of a hybrid automation system at the firm’s Coventry hub; the development and launch of an estimated time of delivery feature; and 86 double deck and 85 single deck trunker trailers. Better Capital has stated that it will provide additional funding to continue the development of City Link.
“We are not there yet but the continued support of Better Capital – both in terms of the investments made so far and in terms of future commitments – means that we will complete our turnaround story and that this business and our customers have a bright future to look forward to together,” said Smith.
Source: logisticsmanager.com
Portal: logistik-express.com