Profits up at manufacturing consultants
One of Europe’s leading manufacturing, logistics and consulting businesses has seen an increase in full year revenue and profits – although a Brexit-related slowdown impacted some of its markets.
For the year to December 31, 2016, turnover at Unipart Group was £747.7m (2015: £722.5m), with pre-tax profit at £28.3m (2015: £27.5m). The group ended the year with a net cash balance of £15.2m (2015 £7.1m).
Commenting on the results, Unipart chairman and group chief executive John Neill said the company had continued to deliver strong performance despite a slowdown in some markets due to Brexit and other factors.
“2016 was a strong year for Unipart in which we continued with the development of our digital transformation across all parts of the group,” he said.
“Brexit may have caused many companies to pause in their investments, but one of the greatest challenges that companies face today is the disruptive and dislocating pace of change that will come from the integration of intelligent technologies such as robotics, artificial intelligence, billions of sensors and massive low cost computing power.
“The speed of current breakthroughs has no historical precedent. For the first time in history, technology is changing faster than the human ability to adapt to it. We are devoting significant resources to equip our organisation to be among the leaders in our sector at embracing and deploying these technologies.”
Key achievements in 2016 included a number of digital investments such as developments in its Unipart Business System, an innovative IT system that enables global fingertip control of inventory while integrating with dealer, distribution centre and financial systems.
Elsewhere, Unipart Rail acquired a controlling stake in one of the UK’s leading technology companies, Instrumentel, which designs and manufactures telemetry systems.
Instrumentel has successfully applied sensors in F1 and other combustion engines enabling accurate data collection at extreme temperatures.
Unipart also launched a new Digital Enterprise Management System providing a leading automotive manufacturer with a powerful sequencing and distribution centre management capability.
The group also extended the provision of its Retailer Inventory Management System to Jaguar Land Rover retailers in a number of key markets.
MetLase, a joint venture between Rolls-Royce and Unipart, continued to innovate its patented tooling techniques to create solutions to engineering problems. This has included a commitment to Industry 4.0 through smart enabled tooling.
Building on its partnership with McLaren Automotive, Unipart also began the implementation of a new distribution hub in North America. Meanwhile, working with retailer Pro-Direct Sport, the group is providing logistics services from a new European fulfilment centre based in the Czech Republic.
It also secured a seven-year contract to supply engine components for Ford cars being produced in China, a move which helped create 40 new jobs in Coventry.
