Agility Logistics has reported a net profit of £30.1 million (13.9m KD) for the third quarter of 2010, down 23 per cent on the second quarter, and down 66 per cent on the same period in 2009.
Agility said the fall was the result of the challenges facing its Defence and Government Services business owing to an ongoing legal dispute with the US government.
Many of its current major US government contracts are winding down and the company is unable to replace them with new government business following the legal disruption.
However, Agility said that the impact has been offset by positive growth in its commercial business, Agility Global Integrated Logistics whose revenues increased by 26 per cent in the third quarter against last year.
Tarek Sultan, Agility’s chairman and managing director, said: “2010 has been a year of transition for Agility. We have reoriented our business to focus on commercial customers over the course of the year… Although we anticipate continued challenges through the middle of 2011, we believe that with a renewed commitment to discipline, we will emerge as a stronger and more flexible company.”
