Damco posts growth in spite of drastically reduced freight rates
Logistics and forwarding subsidiary of A.P. Moller –Maersk achieved increase in turnover in 2011, accompanied by considerably improved results
Damco, the international logistics and forwarding service provider of the A.P. Moller – Maersk Group Earnings is evolving into a top-actor of the industry. Ocean and air freight volume growth was substantially higher than market in the 2011 financial year. Earnings Before Interest and Tax (EBIT) improved by 29 per cent in 2011, rising from USD 75 million in 2010 to USD 97 million. Total revenue grew to USD 2.8 billion from USD 2.7 billion in 2010, in spite of reduced freight rates. Damco plans to increase volumes significantly faster than market in 2012, while also further improve profitability, explained Rolf Habben-Jansen, Damco CEO when presenting the 2011 annual report.
In the reporting period Damco profited from the ongoing positive business development in growth markets across key parts of South and Southeast Asia, Africa and Latin America. Airfreight tonnage rose 47 per cent to 110,000 tons in 2011 compared to the prior year, mainly driven by the acquisition of the Chinese forwarding company NTS in August. Damco’s ocean volume grew by 15 per cent, exceeding the general market growth. Supply chain management volumes however declined 3 per cent from last year mainly due to reduced imports handled for Damco’s large US retail customers, as the company states.
Damco is one of the world’s leading third party logistics providers specializing in customised freight forwarding and supply chain solutions. The company has 10,800 employees in over 280 locations across 90 countries and representative offices in a further 30 countries. In 2011, the company handled more than 2.5 million TEU of ocean freight and supply chain management orders.
Quelle: LogEastics
Portal: www.logistik-express.com