Increased fuel and haulage costs ate into Hull transport firm Den Hartogh’s profits in 2018.
The haulier, which has offices in over 20 countries across the globe, saw its turnover remain steady at just over €89m, but profits before tax slipped from €2.4m to €1.3m last year.
Den Hartogh operates a dry bulk haulage service from its base in Beacon Way, Hull, and despite the profit slide, said it had plans to grow the business in the future.
Directors wrote in recently-filed accounts: “Profit before tax for the year ended December 31, 2018, was €1.3m, the reduction represents an increase in fuel and haulage costs which could not be passed on to customers immediately or in full.
“The company has a clear strategy for growth with a focus on operation efficiency and control of its cost base.
“The focus is mainly on intermodal solutions and our strategy to diversify the business in cargo choice, geographic area, and our customer base provides a sound platform for the future.
“For 2019, there are plans to increase the terminal activity.”
Den Hartogh is a Dutch-headquartered global firm, which was established in 1920.
As a bulk logistics service provider for the chemical, gas, polymer and food industry, Den Hartogh employs over 1,700 people around the world.
Its dry bulk section, based in Hull, recorded sales of €89.4m in 2018 – up slightly from €89.2m in 2017.
However, a greater cost of sales – attributed to higher fuel prices – led to profits before tax sliding to €1.3m.
Directors at Den Hartogh also spoke on the uncertainty surrounding Brexit.
The bulk of the company’s sales come from across Europe – in 2018, €67m of turnover was generated outside of the UK – and directors admitted the impact of Brexit on the firm was unclear.
They said: “The terms on which the UK may withdraw from the European Union are not clear, and it is therefore not currently possible to evaluate all the potential implications to the company’s trade, customers, suppliers and wider economy.
“The directors will continue to monitor the situation closely, and react appropriately to any threats to business continuity.”
Den Hartogh Dry Bulk employed almost 140 people in 2018. Directors said despite the Brexit uncertainty, the firm’s “geographical presence will allow it to react quickly to any threats arising.”
