Shares in logistics group Hargreaves Services rose 8 percent on Tuesday, after swinging from a loss to £4 million profit.
The company’s performance was aided by a significant reduction in exceptional costs, to £470,000 from £12.4 million the year before. The group reported a pretax profit of £4.4 million, an impressive improvement on a loss of £12.4 million the year before.
The company, who are a logistics for for the solid fuel supply and bulk material industries, said annual revenue for the year hit £342.9 million. The company saw the biggest progress in its german operations, which generated a £25.5 million of inflow, after contracting new assets.
“These results demonstrate the excellent progress made by the group over the last year. The achievement of our group profit target was a positive step forward, which we believe marks a real turning point for the group,” Chairman David Morgan said.
“The independent property valuation exercise provides further confidence about the longer term value that we aim to create from our property portfolio. Whilst challenges remain to be overcome in some of our businesses, we are on track to achieve or over-acheive the three key strategic goals we set ourselves in 2016. We will continue to be careful in managing capital allocation and risk as we move forward”.
Shares in the company are currently up 7.59 percent at 376.57 (1238GMT).