Freightways says its operating revenue and net profit after tax both increased by 5% in the year to December 31, 2015, despite the fact there were four less trading days than the previous corresponding period.
According to the listed logistics provider, operating revenue increased by 5% to $255 million; and net profit after tax (NPAT) grew by 5% to $28 million.
The company says its diversification into the Information Management industry is evident in this half year NPAT result.
Both the New Zealand and Australian operations of the information management division recording results well above the prior corresponding period.
The information management brands on both sides of the Tasman, excepting Shred-X, now operate as The Information Management Group (TIMG) says Freightways.
Shred-X, due to its unique positioning and particularly strong brand presence throughout Australia, will continue to operate under its name says Freightways.
Approximately 30% of Freightways’ operating revenue and earnings for the half year was generated by this group.
The express package and business mail division contributed a result above the prior corresponding period, when allowing for the four extra trading days in that period.
The express package and business mail division brands include New Zealand Couriers, Post Haste, Castle Parcels, NOW Couriers, SUB60, Security Express, Kiwi Express, Stuck, Pass The Parcel, DX Mail, and Dataprint.
Overall activity within the express package and business mail division was above the prior year, albeit the timing of the end of year peak volumes occurred later this year than the previous year.
Some pressure on capacity meant Freightways endured additional operating costs to ensure uncompromised service quality during this period.
An aircraft fleet upgrade will see a transition from the existing Convair freighter aircraft to Boeing 737-400s.
The project to manage this transition is running to schedule with the first Boeing 737-400 arriving in the country in mid-December and assisting with peak Christmas volumes.
Two further Boeing 737-400 aircraft will be coming shortly to be fully operational by May 2016.
