PARCEL delivery company UK Mail Group said yesterday its trading in the third quarter exceeded its expectations, boosted by higher volumes during Christmas.
UK Mail, the largest independent parcels, mail and logistics services company in the UK, said underlying revenue increased about eight per cent for the three-months to 31 December, after adjusting for an increase in prices by state-owned Royal Mail, and an extra working day.
Volumes from its parcel business rose 20 per cent, partly driven by an increase in internet shopping-related home deliveries, said the company, which has a national network of more than 55 sites and 2,500 vehicles.
“The group has maintained high service levels during the busy Christmas period, which must have helped,” Investec Securities analyst John Lawson said as he raised his price target on the company’s stock to 350p from 300p.
Shares closed up 3.47 per cent.
City A.M. Reporter