Swindon-based Premier Watercoolers, the UK’s leading independent service provider for mains-fed water dispensers, has released interim results showing a 45 per cent increase in profitability on the same period last year.
Earnings before interest and taxes (EBIT) for the six months to the end of June 2010, were £299,000, up from £205,000 for the same period last year. Turnover has increased by 29 per cent, from £1.5m to £1.9m for the same six monthly period.
The results mean the company is firmly on track to meet its goal of doubling its 2009 net profit by the end of the full financial year in December.
Premier Watercoolers supplies mains fed water dispensers on a rental-based arrangement to around 2,500 clients in the UK, including blue chip corporates, household name brands, government and public sector organisations.
Phil Langley, Managing Director, said: “These figures are clearly very encouraging, given the tough trading environment, and give us confidence that we will meet our business plan goal of a doubling in net profits during 2010.
“This is a testament to the efforts of our sales team in developing new partnerships and business opportunities but also confirms that our strategy of pursuing excellence in customer service is paying dividends.
He added: “Furthermore, our business model means the profit margin on existing contracts will continue to increase exponentially as the rental units mature and the initial capital cost of supply is recovered. We therefore face the second half of this financial year with confidence.”
Premier Watercoolers was founded by Langley in 2003. In addition to its core mains-fed water dispenser business, the company now supplies a range of other water-dispensing products including the mains-fed Hot Plus, which provides hot water at the push of a button for drinks such as coffee, tea and chocolate and reduces reliance on kettles which are inefficient both in terms of energy usage and staff downtime.
The company also launched a pioneering Carbon Emissions Assessment Scheme during 2009, enabling companies to measure the CO2 emissions from their existing water dispenser units and make informed decisions in terms of environmental impact in the future.
