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Amtrak remains upbeat as profit margin falls
Page 9
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AMTRAK EXPRESS Parcels' achieve substantial new business profit margin fell by 50% last year gains at strong rates, the company -pre-tax profits for the 12 months saw turnover decline by 3.6% due to 31 May 2005 were £1.4m, comto difficulties in the economy and pared with £2.8m for 2003/4. the retail sector.
Turnover fell 3.6% to £67.2m, "Although customer losses giving it a margin of j ust 2%. remained low, a year-on-year The franchised parcel distribudecline in traffic across the tor, which bought Nightspeed customer base offset the successful Services from administrators sales activity."
Ernst & Young in August 2005, A spokesman adds that the firm comments:"Despite continuing to improved its cost base and achieved a 50/ reduction in unit direct costs, maintaining gross margins at 15%.
Further reductions in overheads resulted in an operating profit of £.1.7m, which is "considered to be a strong performance given the prevailing market conditions". christophentindall@rbi.co.uk