Xpediator trading well despite Ukraine, inflation impacts

9th Jun 2022 16:14

(Sharecast News) - Freight management provider Xpediator said in an update on Thursday that, following a "strong" initial start to trading in the year, particularly from its central and eastern Europe operations, it had continued to trade well despite the effect of Russia's invasion of Ukraine.

The AIM-traded firm, which was holding its annual general meeting, said the impact from the conflict had thus far been "largely offset" with increased volumes in other markets.

It said it was in a "good position", adding that with an "asset-light base", it was shielded from some energy and other inflationary cost pressures - but not all.

Looking at the board, Xpediator noted that on 1 June, Richard Myson returned to the company as group chief financial officer, and Gillian Wilmot was appointed interim chairman, alongside Mike Stone, who joined as interim chief executive officer.

Xpediator said Myson served as its CFO at the time of its initial public offering, and in total had 15 years of "extremely valuable experience" with the business.

Wilmot and Stone, meanwhile, were bringing "significant experience and skills" from senior management and board roles in other companies, especially in leading teams to improve performance and business results.

The company said its new management team was focussed on providing close support to the senior management teams of all three divisions, while conducting a "comprehensive review" of all aspects of the business.

"The company recognises the economic uncertainty and resulting potential headwinds created by the events in Ukraine driving up inflation and creating caution around business and consumer spending and constantly reviews its plans and performance to mitigate these," the directors said.

"These matters aside, the company continues to trade well and will enter the traditionally stronger second half of the year well placed to continue to perform.

"Finally, we are encouraged by the potential for further growth within the business. In particular, there are clear organic opportunities to improve the underlying performance of the UK business, and the new management team are well placed to address any other challenges and to capitalise on any opportunities that arise within the wider business."

At 1548 BST, shares in Xpediator were up 1.14% at 35.5p.

Reporting by Josh White at Sharecast.com.