Kuehne + Nagel grows in the intra-Europe trades

Kuehne + Nagel’s measurements introduced to improve efficiency on group-wide level prove to be effective
 
Although the Board of Directors did not anticipate a significant stimulation of global trade in the second half of the year, Kuehne + Nagel continued to focus on profitable growth, emphasised Karl Gernandt, Chairman of the Board of Directors and currently CEO of the global acting transport and logistics company, when presenting the results of the period January – June 2013. The results underline that the measurements introduced to improve efficiency on a group-wide level are effective.
 
During the first six months of 2013, Kuehne + Nagel’s turnover increased by 3.3 per cent to CHF 10,394 million and gross profit by 2.6 per cent to CHF 3,112 million. The operational result (EBITDA) improved to CHF 466 million and EBT to CHF 371 million. Net earnings amounted to CHF 289 million (2012: CHF 214 million).
 
In seafreight, Kuehne + Nagel increased container volumes by 3 per cent in the first six months of 2013. In particular, the company performed well in the intra-Europe and intra-Asia trades. Volumes stagnated in the declining Asia-Europe traffic, while, contrary to the market trend, increases were achieved in the transpacific trade lanes. As a result of moving the focus from top-line growth to profitability, Kuehne + Nagel’s gross profit margin in seafreight remained stable despite continuously declining freight rates.
 
In a worldwide stagnating airfreight market Kuehne + Nagel increased tonnage by 3.7 per cent in the first half of the year 2013. The concentration on specific airfreight solutions for the pharmaceutical, automotive and aviation industries as well as volume increases in the European, North American and Asian export business contributed to this favourable development.
 
In the road segment gross profit remained stable compared to the previous year’s six months period; with considerable progress in the second quarter of 2013. Selective growth in specific industry segments such as pharmaceutical, high-tech, automotive and industrial goods as well as the improvement of margins should enable the further positive development in the second half of 2013.
 
As to contract logistics the continuous implementation of the location master plan as well as the company-wide concentration on global customers resulted in a considerable increase in profitability in the second quarter of 2013. In the first six months net turnover increased currency adjusted by 2.8 per cent. Subsequently, EBITDA grew by 19.4 per cent; the EBITDA margin improved from 3.3 per cent in the first half year 2012 to 3.8 per cent in the same period of 2013.
 
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