19th February 2024 Big Chill / Freightways
Freightways says its Big Chill transport revenue for the six months to December 2023 was down 6% on the same period a year earlier.
Freightways’ temperature-controlled logistics operation, Big Chill Distribution, together with Tainui Group Holdings, today officially opened its $40m purpose-built cool storage facility at the Ruakura Superhub in Hamilton.
Distribution business Freightways says it is on track to be admitted to the ASX on Tuesday 12 September 2023.
New capacity in Freightways’ temperature-controlled network will be a “game-changer” after a year marred by Cyclone Gabrielle and Cook Strait ferry disruption, according to the company’s bosses.
Freightways is looking at a circa $2m hit to its earnings before interest, tax and amortisation as a result of Cyclone Gabrielle.
Big Chill revenue rose 5%, contributing to a 28% jump in revenue in Freightways’ express package division.
Fresh and frozen logistics business Big Chill helped its parent Freightways maintain momentum in 2022.
Freightways says the impact of Omicron on its business could be as much as $7m due to lower volumes and higher operating costs due in part to absent staff.
The freight carrier, which recently bought Big Chill and ProducePronto, says it is open to complementary acquisition opportunities.
Freightways is investing $40m into a new Waikato cold store to meet growing demand for its fresh and frozen logistics business.
The latest deal sees Freightways expand its grip over the express chilled and frozen food transport sector following 2020’s Big Chill purchase.
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