The gig economy and the trend towards online delivery has been helping Glasgow-based Macfarlane Group weather the economic uncertainty with a 4% growth in revenue.
In a trading update for the period from 30 June 2019 to 31 October 2019, turnover grew by 4% and group profit before tax is ahead of the corresponding period in 2018.
However sales revenue continued to be impacted by the UK’s well-publicised weaker demand and by price deflation. This is being offset by management action to improve gross margins and reduce overhead costs. The two acquisitions of Leyland Packaging Company in Lancashire and Ecopac near Aylesbury made in 2019 are both performing well, it said.
Stuart Paterson, chairman of Macfarlane Group, said: “I am pleased to report that Macfarlane Group’s performance in the second half of 2019 has remained robust in the face of weaker demand conditions. On the assumption that the group benefits from the normal seasonal uplift in activity in the remainder of 2019, the board is confident that results will be ahead of last year and in line with its full year expectations for 2019.”
Macfarlane Group comprises the Macfarlane Packaging distributor of protective packaging products, its business designing and printing self-adhesive and resealable labels and packaging Design and Manufacture for high value, fragile products, including wine ad spirits.
Macfarlane Group employs over 925 people at 31 sites, principally in the UK, but also in Ireland and Sweden, serving sectors including consumer goods; food manufacturing; logistics; internet retail; mail order; electronics; defence and aerospace.
