ComCab takeover helps Addison Lee double profits in 2021-22 financial year

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Addison Lee doubled its profits in the 2021-22 financial year, despite the impact of the Covid-19 pandemic and a chronic shortage of private hire drivers.

The business achieved an adjusted EBITDA of £19.1 million, up from £7.9m the previous year, on a turnover of £218.5m, helped by the acquisition in January 2021 of black taxi operator ComCab and a move towards an all-electric private hire fleet.

Addison Lee said having private hire, EVs, courier, and taxi all available digitally and on one platform, resulted in “unprecedented demand” for its services, with a 33% year-on-year growth in passenger revenue.

Addison Lee CEO Liam Griffin said: “We’ve had a strong year, borne out by these financial results. The addition of black taxis and the growth of our EV fleet means that the company is thriving. As the only large operator trusted to hold a full 5-year licence from our industry regulator, we continue to be the clear partner of choice for passengers and London businesses looking for a premium, safe experience. We’re confident we’re perfectly positioned for continued strong growth.”

In a challenging labour market, Addison Lee has also enhanced its driver offer, with drivers now earning on average 30% more than pre-pandemic earning levels. The driver package now includes sick pay, life cover, and a driver pension scheme, as well as the AL Rewards scheme, launched in partnership with Collective Benefits to support drivers’ financial, physical, and mental wellbeing.

Griffin continued: “Our recruitment efforts have paid off and we’ve over-delivered on our target of recruiting 1,000 new drivers, adding more than 1,500 since the beginning of 2022. With more than 5,000 vehicles on our fleet, we’re in a good position to offer our customers the best service in the industry.”

Addison Lee now has more than 1,000 Volkswagen ID.4 EVs in service, and it recently opened a new Fleet Hub in West London, complete with ultra-rapid charge points. Addison Lee has formed strategic partnerships with BP Pulse, ChargePoint and Bonnet to ensure drivers have access to reliable charging infrastructure.

Beyond the standard fleet, the firm is also introducing 400 zero-emission capable Audi A6 plug-in hybrid vehicles to its executive fleet, which will further enhance its credentials as London’s leader in sustainable ground transport services.

Addison Lee is also taking a digital-first approach to further improve the efficiency of its operations. It is now rolling out Prism, a digital solution that helps travel managers within Addison Lee’s customer base to manage their passenger car and courier programmes.