Ceva Logistics: Weaker Freight Management volumes in 2013
In 2013, Ceva Holdings adjusted EBIDTA continued to improve, while revenue decreased 8.3% largely due to lower Airfreight volumes out of Asia
Ceva Holdings LLC, one of the world’s leading non-asset based supply chain management companies, last week reported results for the Fourth Quarter and Full Year ended 31 December, 2013.
Revenue decreased 8.3% to USD 8,517 million mainly as a result of weaker Freight Management volumes, with Freight Management revenue declining 12% largely due to lower Airfreight volumes out of Asia and disruption arising from the recapitalization in the first half. Previously announced actions reduced revenue in Contract Logistics 2.6% (adjusted for disposals). Strong performance in the US Automotive and European Consumer and Retail sectors were offset as a result of our focus on addressing underperforming contracts.
Adjusted EBITDA continued to improve, with a year-on-year increase of 57% in the Fourth Quarter. For the year as a whole, adjusted EBITDA of $277 million decreased 2.8% (adjusted for disposals). As a result of the company’s ongoing business actions, adjusted EBITDA for the second half of 2013 increased 20.8%, compared to the same period 2012.
In Contract Logistics, adjusted EBITDA increased 23% on the year, benefiting from the company’s work to address underperforming contracts. In contrast, adjusted EBITDA declined 67.7% in Freight Management mainly due to weaknesses in Airfreight, principally out of Asia, and to disruption arising from the recapitalization in the first half.
Ceva continued to show growing marketplace momentum in the fourth quarter, announcing deals across the globe, including an extension of its partnership with Vileda in Turkey; extension of a customs brokerage deal with Avon in Latin America, an Oceanfreight project with Petrobras, Brazil; as well as contracts with Daikin Europe and Scania in Iberia.
Ceva was formed in August 2007 as a result of the merger of TNT Logistics and EGL Eagle Global Logistics. The group employs over 44,000 people and run a global network with facilities in more than 170 countries.
www.de.cevalogistics.com
Quelle: LogEastics
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