Minicab firm Addison Lee have recorded a loss of £20.8 million for the last financial year despite record turnover.
Addison Lee claim international investment has fuelled a year of record revenue growth and robust underlying profitability. The company’s revenue increased by 31% to £345.8m in the year ended 31st August 2017, representing a step change in scale as recent acquisitions contributed to the business’ financial performance as well as increased sales in its core London market. After factoring in depreciation, amortisation, and debt servicing, the company recorded a pre-tax loss of £20.8m.
The established minicab operator said the losses were inline with budgeted forecasts and reflected a period of intense long-term investment, acquisition integration and reorganisation, which included £18.6m of “exceptional costs” incurred in the year.
Andy Boland, Addison Lee Group’s Chief Executive, said: “For Addison Lee Group, 2017 was the year our London business returned decisively to growth and our focus became investing in and building the world’s leading managed ground transportation business.” He added: “We’ve made a strong start to the new financial year, with Q1 revenues up 23% and set to top £400 million for the current financial year. At the current rate of growth, we expect to double the size of Addison Lee Group in the next three years.”