Logistics firm sees pre-tax profits rise 3% to €1.3m

Pre-tax profits at logistics firm Schenker (Ireland) Ltd increased by 3% in 2010 to €1.3m, new figures show.

According to the latest returns filed by Schenker (Ireland) Ltd, the firm has increased its pre-tax profits marginally after revenues increased from €48.4m to €56m in the 12 months to the end of Dec 2010.

The German-owned firm, which has offices in Dublin, Cork and Shannon, employs 140 people and, according to the directors’ report, “the directors consider that the business performed well considering the slowdown in the global economy and that it has a solid platform for future profitability and growth”.

The report continues: “The company places significant reliance on a small number of large customers — this along with the current economic challenges in the global economy is considered the key risk facing the business.

“The company is actively growing new business from other customers in diversified industries in order to reduce the reliance on main customers.”

The figures show that at the end of Dec 2010, the firm had retained profits of €6.6m. Shareholder funds totalled €7.4m, that included €2.3m in cash.

The company paid a dividend of €738,000 in 2010 and this followed a dividend of €1m in 2009.

The filings show that staff costs declined from €7.1m to €6.9m in 2010 as the numbers employed by the firm dropped from 150 to 140. The staff is made up of two in key management and 138 ‘others’.

The figures show that the firm’s cost of sales increased from €39.5m to €46.8m with the firm’s gross profit increasing from €8.8m to €9.1m. Administrative expenses rose from €7.6m to €7.8m with the company’s operating profit increasing from €1.24m to €1.29m.

The company has recently reported that its DB Schenker Cork business is growing by double digit numbers year on year and the firm now has a significant footprint in Cork.

The firm has opened a second warehouse facility adjacent to its main building in the Euro Business Park in Little Island, Cork.