The APC profits fall as firm invests in the future

The Alternative Parcels Company (The APC) has seen a 30% decrease in profits this financial year compared to 2020/21.

The APC’s profit before tax was £6.41 million, a fall that the parcel network attributed to three factors:

Post-pandemic consumer buying trends. The effects of the COVID pandemic significantly affected the previous year’s record results, with parcel volumes surging and demand for delivery services at an all time high.

Inflation and rising costs. Fuel, energy and labour costs impacted the company’s bottom line, and impacted consumer confidence.

Business investment in employees and depot infrastructure. The APC invested heavily in its workforce and infrastructure, rewarding its staff with pay rises and developing new physical infrastructure.

Commenting on the financial results, Jonathan Smith, Chief Executive at The APC, said:  “This year we have been extremely considered about how we can best support our people, depots and customers through such unprecedented times. As a business we’ve absorbed a significant amount of inflationary cost to protect our customers from the ongoing economic turbulence, and our agility as a business has allowed us to re-shape and respond to their needs quickly during times of change. We have also continued to invest heavily in our workforce, the heart of our business, to ensure they feel recognised for their important contribution and benefit from the long-term career opportunities available to them.”

One of the major investments has been in adding new staff to its workforce, and The APC has recruited a lot of new staff – many of whom have been under 30 years old.

Smith continued, “There is no doubt that the outlook remains uncertain. But as a business we remain committed to building for future growth, and the growth of our customers. As we go into 2022-23 we’re already making plans that allow us to continue investing in our network and our people, and further strengthen our position in the market.

“We’re well placed to navigate the continued evolution of our industry. Demand for APC licences remains high and the passion, pride and entrepreneurialism that comes from our people and network ensures our customers will continue to be served well.”