Hull-based J.R. Rix and Sons records £1.1m profit increase

J.R. Rix and Sons Ltd net profits increased by a third in 2014, fuelled by significant growth in its shipping business.

The Hull-based family company, which includes domestic, commercial and marine fuel distribution, and shipping, among its core operations, saw profits increase from £3.3m in 2013 to £4.4m last year.

J.R. Rix and Sons’ turnover fell from £490m in 2013 to £453m, despite an increase in the overall volume of fuel sold by the company in the year to December 31st, 2014, as a result of the fall in oil prices.

Rory Clarke, managing director Rix Petroleum and director of J.R. Rix and Sons Ltd, believes profit had been boosted by Rix Shipping, which increased turnover from £3.8m to £6.8m and returned a profit of £2m.

Rix Sea Shuttle, the part of Rix Shipping which supplies crew transfer vessels to the windfarm sector, also secured several contracts at home and abroad, as activity in Europe’s renewable energy industry increased.

Earlier this year, Rix Sea Shuttle announced the order of a fifth crew transfer vessel as demand across the offshore windfarm industry continues to grow.

The company will take delivery of the 27.4 metre ship, made by French company Piriou, in April, 2016.

Mr Clarke said: “Currently all our existing crew transfer vessels are working at windfarms in British or European waters and we need to add to the fleet to meet demand. So we are forecasting another good year for shipping in 2015.”

The company’s tanker and barge fleet operations, and its stevedoring activities in Hull and Montrose, also reported an increase in turnover and profitability.

Mr Clarke added: “2014 was a solid performance for the Group and an improvement overall on the 2013 results. The performance of the property business improved as a result of greater demand for warehouse facilities and our car sales business, Jordans, also had a better year.

“We continue to invest across all areas of the Group; last year we purchased 17 new tankers for the petroleum business with more in the pipeline for later this year. We are currently constructing major new warehousing facilities on our port operations in Montrose and that, along with the new crew transfer vessel and further announcements we will shortly be making, means we are in looking forward to another strong year.”

Victory Leisure Homes, the Rix-owned caravan and lodge manufacturer based at Gilberdyke in East Yorkshire, saw turnover increase from £10m in 2013 to £12m last year and Jordans went from £14.6m to £17.4m in the same period.