WHISTL ANNUAL REPORT 2022

Strategic Report Financial Review

Group Performance Macroeconomic factors were challenging throughout 2022 with high inflationary pressures compounded by supply chain unpredictability that impacted customers, our cost base and limited our ability to maximise operational efficiency. These conditions were managed and the Group is poised to benefit from an increase in customer confidence and growth. We successfully consolidated significant investments made in 2021 and refocused the business after the volatility of Covid impacted 2020 and 2021. The Group’s financial performance and growth trajectory returned to pre-pandemic trends, with revenue of £770.1m, a 6.5% decrease compared to 2021 but a 12.4% increase compared to 2019, the last full year before the pandemic. Revenue increases compared to 2019 were focused in the growth areas of Fulfilment, Parcels, and International. Our diversification into e-commerce fulfilment and parcels has created commercial opportunities beyond the underlying market growth, through cross-selling multiple services across our customer base, as well as operational synergies.

2022 £m

2021 £m

Change £m

Consolidated profit and loss

770.1

Revenue

823.2 (53.1)

(726.2)

Costs of Sales Gross Profit

(773.7)

47.5

43.9

49.5

(5.6) (3.9) (9.5) (8.4)

(51.6)

Administrative Expenses (excluding exceptional items) Operating (loss)/profit before exceptional items

(47.7)

(7.7)

1.8

7.2

Underlying EBITDA 1

15.6

2022 £m (7.7)

2021 £m

Change £m

Reconciliation of Underlying EBITDA 1 Operating (loss)/profit before exceptional items

1.8

(9.5)

10.6

Goodwill amortisation

10.3 0.6 2.9 15.6

0.3

0.5 3.8 7.2

Amortisation of intangible assets Depreciation of tangible assets

(0.1)

0.9

Group

(8.4)

2022 £m

2021 £m

Capex Growth

1.4 2.6 4.0

11.2 2.3 13.5

Maintenance

Group

1 Underlying EBITDA represents operating profit before interest, tax and exceptional items adjusted for the depreciation and amortisation charge for the year.

Manoj Parmar Chief Financial Officer

Whistl Annual Report 2022

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