City Link cuts losses

Express operator City Link reduced its operating loss for the first half to £4.7m – that is £2.3m lower than in 2009 on sales that remained unchanged at £167.1m. The carrier, which is part of Rentokil Initial plc, said volumes rose four per cent but the market remained extremely competitive and price cutting had continued across the industry in the first half. Revenue per consignment weakened by 4.3 per cent on 2009.

City Link has closed seven depots during the period, to make a total of 77, and is positioned to operate a regional hub network centred on Coventry in the second half.

It has opened three depots in Heathrow, Warrington and Peterborough which also act as regional hubs. The Wednesbury hub closed in late July, completing the transition from a hard sided to a curtain sided trailer fleet.

Distribution costs were £4.6m higher than in 2009 in part due to an increase in volume and sub-optimal route planning resulting in high sub-contractor costs.

It plans to improve routeing efficiency in the second half as a result of its restructuring work. It is also is recruiting more employed and owner drivers and reducing ad hoc sub-contractors.

Relevant Directory Listings

Listing image

SwipBox

Focus on the user experience SwipBox is focused on creating the world’s best user experience for delivering and picking up parcels using parcel lockers. Through a combination of intuitive network management software and hassle-free, app-operated parcel lockers, SwipBox delivers maximum convenience to logistics providers, retailers […]

Find out more

Other Directory Listings

Advertisement

Advertisement

Advertisement

P&P Poll

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

 

News Archive

Pin It on Pinterest

Post & Parcel
bpost demonstrates commitment to financial inclusion in Belgium
Pall-Ex: succession planning has been a major focus for the network since 2020
Poczta Polska “consistently working on improving the quality of services provided”
New senior appointments to join Logistics UK “at a key time” for the sector
Royal Mail: customers don’t need to go out of their way to drop off their parcel
bpost demonstrates commitment to financial inclusion in Belgium
Pall-Ex: succession planning has been a major focus for the network since 2020
Poczta Polska “consistently working on improving the quality of services provided”
New senior appointments to join Logistics UK “at a key time” for the sector
Royal Mail: customers don’t need to go out of their way to drop off their parcel
1
2
3
4
5
Listing image
Listing image
Listing image
Listing image
APC Overnight appoints new CEO
Hand-held scanners help City Link’s customers stay in the loop
TNT introduces faster express service for Iberian Peninsula
UPS adds 1,300 zip codes to early-morning delivery service
Share This