DHL Group posts Q1 profit amid global disruptions

The logistics giant DHL Group delivered a strong start to 2026 despite geopolitical tensions and ongoing trade disputes. On an organic basis, group revenue rose by 2% in the first quarter. However, reported revenue declined by 1.9% year-on-year to EUR 20.4 billion, largely due to currency fluctuations.

Operating profit increased significantly by 8.3% to EUR 1.5 billion, driven by effective capacity management, structural cost efficiencies, and pricing measures. This earnings growth also boosted the EBIT margin to 7.3%, an improvement of 0.7 percentage points compared to the same period last year.

At DHL Group, capital expenditure on acquired assets rose 12.4% year-on-year to EUR 518 million, largely driven by higher investments in the Supply Chain and Post & Parcel Germany divisions.

Free cash flow surged by 65% to EUR 1.2 billion. Net income attributable to shareholders reached EUR 812 million, marking a 3.3% increase compared to the previous year. Basic earnings per share climbed 6.6% to EUR 0.73, up from EUR 0.68 in the first quarter of 2025.

As part of its Strategy 2030, DHL Group is continuing to strengthen operational efficiency while investing in high-demand regions and sectors. The company is expanding its footprint in the fast-growing data center market, with plans to establish more than ten new warehouse facilities across North America by the end of 2026, adding over 650,000 square meters of capacity. These facilities are tailored to support rapidly scaling data center operators that depend on secure and dependable supply chains.

In parallel, the Group is boosting efficiency by upgrading its fleet, including the renewal of Boeing 777 Freighter aircraft. Through this ongoing program, DHL now operates one of the most fuel-efficient freighter fleets globally.

The air freight revenue for global forwarding in Q1 2025 was EUR 1.5 billion, whereas in 2026 it was EUR 1.47 billion, a decline of 2.2%. Similarly, in terms of volumes, air freight exports in Q1 2025 were 422,000 metric tonnes, and in Q1 2026 were 439,000 metric tonnes, with a jump of 3.8%.

The company is also steadily modernizing its parcel and postal infrastructure in Germany and upgrading its vehicle fleet. By the end of 2025, nearly 60% of its pick-up and delivery vehicles in Germany were electric. These infrastructure investments are aimed at improving service quality and better integrating parcel and letter delivery, helping the company adapt to rising parcel volumes and declining letter demand.

Similarly, DHL Express reported another quarter of growth in both earnings and margins, as the EBIT margin was reported 10.8% in Q1 2025 while in Q1 2026, it was 13.3% with an improvement of with an improvement of 2.5 percentage points.

On the other hand, DHL Supply Chain witnessed the same margin in both the years of 2025 and 2026, of 6.1%, however, a steady growth in revenue and EBIT. Simultaneously, DHL eCommerce revenue records a negative currency effect of 11.1%, and the EBIT margin still holds the margin ahead with 0.2 percentage points in comparison to Q1 2025.

The progress in revenue of Post and Parcel Germany was recorded by 1.7 percentage points. Tobias Meyer, CEO of DHL Group, said, ‘After the first three months, we are well on our way to achieving our annual targets. Our successful start to the year underlines the resilience of our business model and the effectiveness of our efficiency measures. Especially in times of geopolitical upheaval, the advantages of our strong global positioning with experienced local management teams are also evident. Despite blocked sea routes and closed airspaces, we keep our customers' supply chains running.”