UK Logistics Sector, Clipper Logistics, DX Group, Wincanton, Xpediator

Having published a research note on the UK logistics sector Robin Byde research director Zeus capital talks us through the key macro themes he is seeing at the moment. Robin also talks us through the four companies that are discussed in the note.

Clipper Logistics plc (LON:CLG) Clipper Logistics is a provider of contract logistics services (of which c.70% are “open book”), e-fulfilment services and returns management, largely focused on the retail sector. Clipper mainly provides services within the UK but has growing operations in Germany and Poland. The Group has a smaller commercial vehicles unit. Clipper operates over 50 sites and has c.2,000 employees.

 

DX Group plc (LON:DX) DX Group provides parcels, courier and freight services in the UK and Ireland. Two divisions: DX Express which includes Secure Courier and Document Exchange. DX Freight offers a 1-Man and 2-Man B2B and B2C service. The Group has around 80 depots, 700 vehicles and 3,600 employees.

 

Wincanton plc (LON:WIN) Wincanton is primarily a provider of outsourced and contract-backed (3PL) logistics services. The business model is more defensive, focused on multiyear contracts and semi-fixed fees. WIN operates over 200 sites in the UK & Ireland and has c.19,000 employees.

 

Xpediator plc (LON:XPD) Xpediator provides freight management solutions for customers in the UK & throughout Europe, with strong expertise in CEE markets. It operates an asset-light forwarding business model with a broad customer base. Services include freight forwarding, transport solutions including fuel cards, palletised network operations and third-party logistics & warehousing. The Group has 10,500 customers and employs nearly 1,100 people. XPD has 38 offices and warehouse facilities in the UK and CEE countries.