DACHSER registers 4.1% decline in air & sea logistics biz in 2019
DACHSER released its 2019 report card where it shared that its consolidated net revenue grew by a solid 1.6 percent to EUR 5.66 billion. The road logistics business was a key growth driver with net revenue rising up 2.9 percent to EUR 4.60 billion. In contrast, the Air & Sea Logistics business field saw a decline of 4.1 percent, mainly attributable to weaker demand for air freight services for automotive customers.
The revenue growth at the Group level contrasts with declining shipment and tonnage figures. Although the number of shipments was down by around 3.7 percent from 83.7 to 80.6 million, tonnage fell only slightly compared to the previous year, slipping by 1.0 percent from 41.4 to 41.0 million metric tons. “When the economic wind turns, quality and reliability count more than ever,” says Bernhard Simon, CEO of DACHSER. “That’s why we’re all the more committed to ensuring our employees are well-qualified and motivated and why we’re continuously investing in our network, our processes, and our IT.”
DACHSER’s Road Logistics business field—which comprises the transport and storage of industrial goods (European Logistics) and food (Food Logistics)—continued to provide stability while driving growth at the company. In 2019, road logistics increased its consolidated net revenue by 2.9 percent from EUR 4.47 to 4.60 billion. The business line European logistics contributed 3.63 billion Euro (+2.4 percent) to the Road Logistics revenue. “Cross-border services remained strong and contract logistics saw positive development throughout Europe. Although the situation on the freight market relaxed in the course of 2019, the shortage of drivers and lack of qualified personnel in Germany and many other European countries continues to be our most pressing challenge,” Simon explains.
DACHSER’s Food Logistics business line achieved the strongest growth in 2019, recording revenue growth of 5.1 percent from EUR 917 to 964 million. The number of shipments handled declined by 1.7 percent and tonnage saw a slight rise of 0.6 percent. “Food Logistics has been a reliable pillar of our business model for years,” Simon says. “The alliances with our partners in the European Food Network have proven to be extremely stable and fruitful.”
In the Air & Sea Logistics business field, revenue declined by 4.1 percent in 2019, from EUR 1.19 to 1.14 billion; the number of shipments was down by 5.6 percent. “In Air and Sea Logistics, we’re feeling the effects of the business climate, which is very volatile and greatly impacted by the disruptions to world trade,” Simon says. “In our air freight business, the effects of the weak demand for transport services from the German automotive industry are particularly evident.” In 2019, DACHSER took steps to future-proof this business field. These included adding the life sciences/pharmaceutical and fashion & sports sectors to its customer portfolio and expanding rail services along the New Silk Road. Air and sea transports, particularly for LCL, were connected more tightly with the European overland transport network. In addition, the rollout of DACHSER’s Othello transport management system, developed in-house, is now essentially complete. “By mid-2020, we will use our own transport management system to handle 99 percent of all shipments. The resultant improvements in efficiency and productivity allow us to add further value for our customers,” Simon says.
DACHSER further increased its equity ratio in 2019 to over 57 percent. With its current workforce of some 31,000, DACHSER has more employees than at any other point in its history. “We’re very proud of this because our employees are the heart and backbone of the service we provide. Securing jobs is our top priority in 2020,” Simon says. “We also want to remain a stable and reliable partner for customers and subcontractors. Together, we’ll overcome the crisis surrounding the coronavirus with fair prices and fair remuneration, and lay the foundations for future growth.”
You may also like:-
Worldwide yield/rate has been stable for three weeks in a row (USD 2.83 per kg in week 38)
The remains were reinterred Sunday, September 13, in the Mesa Verde National Park in Colorado, with tribal leaders in attendance.
The shipment, which was the largest donation received from private industry, included 12,500 isolation gowns, 100,000 N95 masks and 400,000 surgical masks.
Otávio joined LATAM Airlines Group in 2015, initially working in cargo planning and commercial areas but since 2019, he was LATAM Cargo Brazil’s Operations vice president.
The large amount of high dense engineering goods, destined for Europe & North America, that made the difference on weight.
The CMA CGM Group investment will result from the combination of a subscription to a capital increase for an amount of 50 million euros and the acquisition of shares.
IATA’s director general and CEO Alexandre de Juniac said that when the AGM was postponed from June to November, they hoped that government restrictions on travel would be eased but that is now unlikely.
The addition of the five points will expand the Emirates' global network to 92 destinations, as the airline gradually resumes its operations while prioritising the safety of its customers, crew and the communities it serves around the world.
Edmonton International Airport (EIA) has partnered with GLC Medical, a subsidiary of Graphene Leaders Canada (GLC), to host clinical trials of a new technology for Covid-19 testing that can produce results in seconds.
While Astral Aviation will be a new Full Member, Bombelli Airport Equipment will come on board as an Associate Partner.
Continuing its technological investments, the software reduces the error rate at its business processes as well as the costs while improving the employee productivity among other aspects
SEOSAT-Ingenio is the first Spanish satellite with optical technology, developed primarily by the Spanish space industry led by Airbus in Spain as the prime contractor.
Weekly direct flights will depart from Shanghai (PVG) every Monday and from Amsterdam (AMS) each Sunday to service for a post-COVID resurgence in demand during what is traditionally a fourth quarter peak season.