Turnover Tops 850M at Hermes UK

[TrueBlueTerrier]

https://www.insidermedia.com/news/yorks ... -hermes-uk" onclick="window.open(this.href);return false;

Turnover has grown to more than £850m at parcel delivery giant Hermes UK, which has recently agreed the sale of a majority stake to Advent International.

It was announced on Monday (10 August 2020) that the private equity firm had agreed a deal to acquire a 75 per cent stake in Hermes UK, as well as a 25 per cent stake in Hermes Germany, from Otto Group.

Recently filed accounts for Hermes Parcelnet show turnover of £860m for the year ending 29 February 2020, up from £749.5m in 2018/19.

Pre-tax profit also increased to £46.2m from £36.1m the year before.

In their report accompanying the results, the directors said: "In addition to excellent corporate client retention, a full range of large retail clients and smaller businesses have been added to the client roster in the last 12 months. The company expects this expansion to continue in future years, with new clients having already started trading, and additional services having been made available in the new financial year.

"Changes in customer behaviour, new retail sales formats and multi-channel offers are driving year on year parcel delivery sector growth. In response, the business has increased its scale, investing in new delivery capacity and supporting the business processes necessary. to maintain controlled growth and an industry leading courier doorstep experience."

In July, Hermes UK announced plans to create about 10,000 jobs to meet demand created by people shopping at home during lockdown and the continuing growth in the sector.

The company currently has two parcel hubs and 28 depots across the UK, with 18,000 couriers and 3,700 employees.