Profit warning issued by UK Mail after hub move - CILT(UK)
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Profit warning issued by UK Mail after hub move

10 August 2015/Categories: CILT, Industry News, Logistics & Supply Chain


UK Mail has issued a profit warning, with full-year profit likely to be below current market expectations. 

The group's move to a new automated hub in Ryton near Coventry is cited as having a negative impact on UK Mail, as it has caused more disruption than was initially expected. 

Profit before tax is now forecast at being in the range of £10 million to £12 million - a significant drop on the equivalent figure of £21 million that was recorded in the last fiscal year. 

Chief executive officer of UK Mail Guy Buswell said the near-term setback to performance is very disappointing, but he is taking direct action to address the issues in an effort to minimise the impact. 

'The completion of our new fully-automated hub represents the largest strategic development in our corporate history and the rationale for this significant investment remains compelling,' he commented. 

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