Unipart grows faster than the economy with expansion at home and abroad
• Turnover up by 5% to £1,056.3m.
• Total operating profit including joint ventures, before exceptional items is £26.2m (2012 – £28.8m)
• Strong cash flow resulting in net cash on the balance sheet of £25.2 million
• Teaching joint venture launched with Coventry University
Unipart Group, one of Europe’s leading manufacturing, logistics and consulting businesses, has announced its financial results for the year ended 31st December 2013.
Total Group turnover was £1,056.3m, up from £1010.8m. Total operating profit generated by the Group including joint ventures was £26.2m, which represents a reduction on 2012. The Group decided to make a step change in the level of investment in The Unipart Way brand to continue repositioning the company away from the historic all makes parts business, which it sold control of in 2011, to its core long term business of logistics, manufacturing, and consulting.
The investment in brand repositioning is expected to continue for a number of years as the Group has positioned itself strongly for growth in multiple markets, more sectors and wider geographies.
Commenting on the results, Unipart Chairman and Chief Executive John Neill said: “We are pleased to be able to report on growth in very tough markets, but more importantly, to report strong cash generation, with net cash on the balance sheet for the first time in many years.
“Our investment in the brand has worked very well, resulting in some significant blue chip client wins for our consulting business, Unipart Expert Practices. UEP has extended its reach to a number of new areas, for example a long term relationship with University Hospitals Coventry and Warwickshire, demonstrating the power of The Unipart Way to improve quality while reducing costs, engaging people and inspiring innovation for our clients.
“We extended our global footprint in India, China and Australia. We were very pleased to announce new distribution contracts with Toyota in India and a five year, full spectrum aftermarket contract with Qoros Automotive in China.
“Our Group has had a long term commitment to manufacturing, and we are pleased to see the growing recognition in our country for the importance of manufacturing and engineering. During the year we opened two additional manufacturing operations including the manufacture of high tech fuel system components for the next generation of Europe’s automobiles.
Unipart launched a joint venture with Coventry University to develop Britain’s future engineers through the creation of the Institute for Advanced Manufacturing and Engineering, which will teach graduates and post-graduates in a new centre within Unipart’s manufacturing establishment in Coventry. Unipart has also secured a contract with “Sharing in Growth” (SiG), a partly government-funded programme for capability building in the aerospace sector.
“Unipart received a number of awards during 2013. Unipart Group was the only company to be awarded six Swords of Honour by the British Safety Council, and one of only a few companies to receive both a Sword of Honour and a Globe of Honour.
“Towards the end of the year, the Unipart Logistics was awarded the European Supply Chain Excellence Award and also the 2013 Global Automotive Supply Chain award. Our commitment to training and developing young people was recognised by the Cheshire Inspiring Apprenticeship Award, and the company once again achieved platinum status in the Business in the Community corporate responsibility index.”