Damco announces $379 million profit in H1 2012
Damco, the global logistics company, reported significantly improved year-on-year results in 2010 and 2011 today - showing continued good progress moving into the second half of 2012 despite tough conditions in the global freight markets.
Damco’s net revenue grew by 12% to US$1,543 million compared to the same period last year. Gross profit is up 5% to $379 million. Damco´s EBIT for the first half of 2012 grew 42% to $51 million.
In the first half of 2012, Damco’s ocean freight volumes increased 9% compared with the same period in 2011, whilst airfreight tonnage growth was 135%. The latter includes the effects of the acquisition of the Chinese air freight forwarder NTS, but the underlying organic growth was still 42%. Damco’s supply chain management volumes increased 3% during the first half of 2012, driven by new recently secured accounts that started to ship with Damco in Q2.
“I am very pleased to see the continued above market, organic growth in our Air- and Oceanfreight business and we have also developed well on our Supply Chain Management volumes,” said Damco CEO, Rolf Habben-Jansen. “It demonstrates that our customers find our services attractive and competitive.
Damco´s EBIT in the first half of 2012 was positively affected by the sale of warehousing facilities in China. At the same time Damco’s EBIT was negatively impacted by the restructuring of Damco’s European activities into mature and developing markets and Damco also invested more than planned to properly implement newly won business.
“Our results continue on the right path. Year-on-year our new business wins are up by over 20%. We continue to win more and more regular customers in our target industry verticals – despite the challenging market conditions in a number of key markets,” said Jansen.
“We expect that for the full year 2012 we will deliver above market growth in all of our main products – and our EBIT in 2012 will again be better than in 2011.