UK DX reports fall in profit
DX Services PLC, the UK’s biggest independent mail company,
reported a fall in profit in its full-year results but said it is well-placed to
grow when the mail market is fully deregulated next year.
The company, which was sold by former parent company Hays PLC in 2004, said
pretax profit before exceptional items and goodwill amortisation in the year to
June 30 fell to 26.6 mln stg from 32.7 mln a year earlier.
Earnings per share, pre goodwill amortisation, was 21.3 pence.
Revenue remained virtually unchanged from last year at 131.1 mln stg after
allowing for the additional ongoing costs of DX Services becoming an independent
and listed company.
The company proposed a final dividend of 8.5 pence per share, taking the
total dividend for the year to 12.5 pence.
DX Services chairman John Maxwell said in a statement: “This has been a year
of substantial change for DX. With the onset of full deregulation in January
2006, and the introduction of our ‘take all’ mail services to increase market
penetration, DX is well positioned for further growth.”
DX Services, said it has around a 20 pct share of the next-day delivery of
mail in the UK for business and government, a market it estimated is worth 0.5
bln stg annually.
Elsewhere in the business the Document Exchange and Parcels services
continued to deliver stable revenues, DX Services said.
