Britain’s worst parcel company pays out £100m dividend

Britain’s worst parcel delivery company paid out a £108m dividend last year, just months after it was bought by US private equity giant Apollo.

Evri, which was named the UK’s worst courier for the third year running by the regulator Ofcom last month, paid the money into its parent company in the year to March.

This was done to service debts tied to its former owner, Advent, as well as to cover fees relating to Apollo’s £2.7bn takeover in August.

Details of the dividend have emerged as the delivery giant faces intense scrutiny over its performance.

The company once again ranked bottom of an annual survey by Ofcom in October, with more than four in 10 respondents dissatisfied with its level of service.

Complaints included delivery delays and parcels being left in inappropriate locations.

Lisa Webb, consumer law expert at Which?, said: “Year after year, our research finds shoppers are being let down by delivery companies – with one in four experiencing issues with at least one delivery last Christmas.

“Evri must ensure that their customer service team is properly prepared for the busy festive period and is able to quickly and efficiently address any issues.”

Evri said it had invested £100m into service and operations over the last three years, including £30m in the current peak period alone.

It also pointed to a separate parcel league table compiled by Citizens Advice, which ranked Evri third equal out of five – in line with DPD but ahead of Yodel.

A source close to the company added: “The Group has not paid any dividends to shareholders in any of the last three financial years.”

Britons are growing increasingly frustrated with parcel companies’ poor quality of service as couriers struggle to keep pace with surging demand.

A record 4.2 billion parcels were sent and received across the UK last year – eclipsing the pandemic peak – as the e-commerce boom shows no signs of slowing.

Despite customer complaints, couriers have been cashing in on the sky-high demand.

Evri posted record pre-tax profits of £176m last year from revenues of £1.9bn, as parcel volumes jumped 11pc to over 800 million.

Earlier this month, the company said growth had continued in the first half of the year with parcel volumes hitting 425 million.

Evri has further strengthened its position in the market with the takeover of DHL’s e-commerce business. The merger will see it handle more than one billion parcels annually – or roughly a quarter of all UK parcels.

It has also snapped up customs clearance and logistics specialist Coll8 in a deal aimed at boosting its cross-border parcel operations in Ireland and the wider EU.

An Evri spokesman said: “In November, Citizens Advice recognised Evri as joint third, alongside DPD, in its independent Parcels League Table 2025. It highlighted Evri as the only parcel carrier to have a positive upward trajectory since the league table began in 2021.

“Every parcel matters, and in the last three years we have invested over £250m to support our operations and invest in service improvements. Rising parcel volumes are proof of the trust our clients and customers place in the reliability of our service.”

Try full access to The Telegraph free today. Unlock their award-winning website and essential news app, plus useful tools and expert guides for your money, health and holidays.