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Depot closure hits Robinson profit but profit margin rises
Page 12
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High-profile operator Stan Robinson has seen profits and turnover slip but says business is still healthy. Lucia Cockcroft reports.
THE CLOSURE OF Stan Robinson's Ipswich depot last year has resulted in a dip in company turnover and profits for the year ending 31 May 2005.
The company's pre-tax profits for the period slid to £219,446, down from £229,747.This was on a turnover of £15.1 in, also down against .£15.6m in 2004.
Despite this, profit margins for the Stafford-based general haulage company rose by 1%, to reach an above-average 5%.
Robinson says:-We were able to increase profit margins by sticking to the prices we need, and generally fuel surcharges have been accepted by customers.
"I hope margins will keep going up — we'd like to aim for 10%."
The decision to close the Ipswich depot, which employed 25 staff, last August explains the fall in both pre-tax profits and turnover. Robinson adds: "We were losing turnover on the depot" The company has four remaining depots, in Cullompton. Darlington,Glasgow and Stafford; it employs 260 staff.
After he retires next year Robinson plans to devote more time to Route One, the industry pressure group whose members include James Irlam and Framptons.
Robinson says: "Route One is going very well at the moment.But I will keep a big involvement in the business too."