Parcel firm DPD delivers 14pc revenue rise amid online boom
The growth in people purchasing goods online contributed to revenues at delivery firm DPD increasing by 14pc to €77.5m in 2017.
New accounts filed by Interlink Ireland Ltd, trading as DPD, with the Companies Office show that in spite of the surge in revenues, pre-tax profits dipped by 8pc to €7.05m, as the business expanded its operations.
A 70pc hike in directors' pay from €714,000 to €1.2m also contributed to the drop in its pre-tax profits.
Directors' pay was made up of €985,000 in pay and €227,000 in pension contributions.
Underlining the growth in business, numbers employed increased from 293 to 318, with staff costs going up from €8.4m to €9.18m.
The business provides an overnight service for the collection and delivery of parcels through its distribution network.
Established in 1986 as Interlink Ireland with 10 depots, the firm rebranded in 2008 as DPD.
In 2000, Interlink Ireland became part of GeoPost SA, the parcels and express division of La Poste, the French Post Office.
The firm says that it is today Ireland's largest dedicated parcel delivery company, with 34 depots throughout the country handling in excess of 19 million parcels per year.
The business operates a hub and headquarters in Athlone and in late 2016, DPD expanded further, doubling its hub size and trebling the sortation capacity from 7,000 parcels per hour to 21,000 parcels per hour.
The directors state that they are satisfied with the performance of the company and believe that this trend will continue for the foreseeable future, which excludes the impact of the UK leaving the EU.
The company's cost of sales in 2017 increased from €37.77m to €42.9m, with distribution costs increasing from €14m to €16.3m.
The firm's administrative expenses increased from €8.38m to €11.17m during the period.
The new accounts additionally reveal that Irish revenues in 2017 increased by 2pc, from €58m to €59.28m, with revenues from the firm's UK operations almost doubling, from €9.8m to €18.2m.
The business recorded a post-tax profit of €6.05m after paying corporation tax of €995,000.
The firm's profits included non-cash depreciation costs of €2.27m.
Shareholders' funds at the end of December 2017 totalled €37.56m.
That included accumulated profits of €36.4m. The firm's cash decreased from €2.59m to €2.38m.
A breakdown of the numbers who are employed across DPD's operations has revealed that 180 people are employed in production, 112 in administration, 14 in sales and 12 in management.