City Link parent pledges to turn fortunes around
The boss of Rentokil Initial – parent company of City Link – has vowed to turn around the fortunes of the parcel delivery firm, despite Rentokil receiving “numerous offers” for City Link.
Alan Brown, who became chief executive of Rentokil in March, says he is pleased with the progress City Link is making at improving its customer service levels and confident the parcels firm can return to profitability.
City Link posted an operating loss of GBP 15.4m for the three months to the end of March.
At the same time, Rentokil Initial revealed its first quarter operating profit dropped to GBP 28.7m, from GBP 54m the previous year.
City Link has experienced integration problems following its merger with Target Express last year. The process is expected to be completed by the end of this year.
Brown says City Link’s turnaround plan will focus on improved customer service, integrated information systems and an optimised hub and depot network.
He adds: “We have broken the back of the operational problems, but there is still a long route back”.
In February, Petar Cvetkovic was appointed City Link’s new managing director.
The boss of Rentokil Initial – parent company of City Link – has vowed to turn around the fortunes of the parcel delivery firm, despite Rentokil receiving “numerous offers” for City Link.
Alan Brown, who became chief executive of Rentokil in March, says he is pleased with the progress City Link is making at improving its customer service levels and confident the parcels firm can return to profitability.
City Link posted an operating loss of GBP 15.4m for the three months to the end of March.
At the same time, Rentokil Initial revealed its first quarter operating profit dropped to GBP 28.7m, from GBP 54m the previous year.
City Link has experienced integration problems following its merger with Target Express last year. The process is expected to be completed by the end of this year.
Brown says City Link’s turnaround plan will focus on improved customer service, integrated information systems and an optimised hub and depot network.
He adds: “We have broken the back of the operational problems, but there is still a long route back”.
In February, Petar Cvetkovic was appointed City Link’s new managing director.
