Clipper Logistics turnover up 20% as e-commerce boom drives growth
Clipper Logistics was a major beneficiary of the shift to e-commerce during lockdown and the Covid-19 pandemic, as its first half revenues increased 20% year-on-year.
In the six months to 31 October turnover rose 19.8% to £305.2 million year-on-year (compared to £254.8 million in the same period in 2019) with growth of 37.7% in e-fulfilment and returns management services. Group EBIT increased 21.7% to £20.2 million (H1 FY20: £16.6 million).Clipper said it benefited from the structural shift to e-commerce that had been accelerated during the ongoing Covid-19 pandemic.
Clipper said it had increased its distribution centre portfolio during the first half of its financial year to accommodate this increased activity and now had 52 sites throughout the UK and mainland Europe with over 14.5 million square feet of warehouse space under its management.
Yesterday Clipper Logistics took Logicor’s Sherburn 667 – a 666,898 sq ft warehouse near Leeds – on a long-term lease in the largest letting of an existing UK warehouse in 2020.
Clipper said the period also saw it process over 7.4 billion items of PPE and issue 3.9 billion items on an NHS contract. The period also saw it commence operations with N Brown, Gordon Bros, H&M, Joules, Linenbundle, Lussostone, Revolution Beauty, T M Lewin and Unipart.
It also revealed that it was currently exploring a shared user facility utilising autonomous mobile robots with Geek+.
Steve Parkin, Executive Chairman of Clipper, said: “The Group has successfully chartered the uncertainty and disruption caused by the pandemic to deliver impressive revenue growth of 19.8% and underlying EBIT growth of 54.3%.
“The Group benefited directly from the structural shift and acceleration of online retail such that our e-fulfilment and returns management division saw underlying EBIT growth of 63.3% which included a positive contribution from our Clicklink joint venture.”
To discover more about Clipper, register to watch Day Two of the Logistics Manager Top 50 week, which took place yesterday and includes an exclusive interview with Chief Executive Tony Mannix.