DHL Global Forwarding – Freight: Moderate revenue increase

Deutsche Post DHL Group increases earnings and continues its investments with Euro 1.88 billion in long-term success in the year 2014

Deutsche Post DHL Group, the world’s leading postal and logistics company, has increased revenues and met its targets for EBIT and cash flow in 2014. Compared to last year, revenues rose by 3.1 percent to EUR 56.6 billion (2013: EUR 54.9 billion) with all four of the company’s operating divisions contributing to this improvement. Organically, Group revenues climbed by 4.2 percent in 2014, supported by steady volume and revenue gains in the international express and German parcel businesses in particular.

These improvements are the result of the company’s outstanding market position in the world’s growth segments – namely E-Commerce and emerging markets – and its strong operational performance, which have enabled margin improvements that led to an EBIT increase of 3.5 percent, or EUR 100 million, to EUR 2.97 billion in 2014 (2013: EUR 2.87 billion). Operating earnings therefore finished the full year 2014 within the targeted corridor of between EUR 2.9 billion and EUR 3.1 billion. Post – eCommerce – Parcel (PeP) contributed EUR 1.3 billion as projected and the DHL divisions EUR 2.02 billion.

In a still challenging industry environment, Global Forwarding – Freight achieved a moderate revenue increase of 0.9 percent to EUR 14.9 billion (2013: EUR 14.8 billion). Adjusted for exchange rate effects, revenues increased by 3.2 percent year-on-year. Both Air and Ocean Freight showed a volume recovery towards the end of the year, reflected in the final quarter’s revenue increase of 4.9 percent compared to Q4 2013.

The division’s operating profit fell strongly by 38.7 percent to EUR 293 million (2013: EUR 478 million). This development was a result of significant resources being directly involved in the transformation program New Forwarding Environment as well as the detailed management and workforce attention that the project entails.

To bolster its foundation for continued profitable growth, the Group invested a total of EUR 1.88 billion in 2014 (2013: EUR 1.75 billion) – in line with guidance of about EUR 1.9 billion. The investments were made across all four divisions, primarily in areas that position the company for future growth: expansion of the parcel infrastructure, upgrades of global and regional Express Hubs in Leipzig, Cincinnati, Singapore and Dubai, more efficient cargo aircrafts, infrastructure for new business wins in Supply Chain and the Global Forwarding – Freight transformation project NFE.

www.dpdhl.com

Quelle: LogEastics
Portal: www.logistik-express.com