Kuehne + Nagel Group has released its Q3 2021 results. The company reported that all business units were able to exceed their prior-year results, and reported a net turnover of CHF8.6bn, a 70% y-o-y increase.
Sea Logistics
The Sea Logistics segment reported a net turnover increase of 120% y-o-y, with a net turnover of CHF3.9bn. Gross profit rose 114% y-o-y to CHF809m, and EBIT rose 256% y-o-y to CHF487m. The company stated that in the third quarter of 2021, the challenging market environment for Sea Logistics, with congested ports and supply chains out of sync, required a particularly high level of support and resultant lower logistics productivity. The business unit continued to focus on the transport of goods with complex requirements.
Air Logistics
The Air Logistics segment witnessed strong volume growth in the first nine months of 2021. The company reported that volumes were around 50% higher than in the same period of the previous year at 1.6m tonnes, of which around 20% is attributable to the acquisition of the Chinese air freight forwarder Apex. Net turnover rose 109% y-o-y in Q3, reaching CHF2.6bn. Gross profit rose 93% y-o-y to CFH 608m, whilst EBIT rose 41% y-o-y at CHF239m. The company reported that services for pharma and essential goods as well as e-commerce continued to be in high demand throughout the quarter.
Road Logistics
The Road Logistics segment reported net turnover increase to CHF922m; up 16% y-o-y. The company reported that network capacity utilisation was high in Europe in particular; demand also remained strong in North America. As a special service offering, demand was particularly strong for the digital solution for global customs clearance. Gross profit rose 14% y-o-y and EBIT rose 75% y-o-y, reaching CHF311m and CHF21m, respectively.
Contract Logistics
The Contract Logistics segment reported a net turnover decrease of 6%, at CHF1.1bn. Gross profits fell 9% y-o-y and EBIT fell 21% y-o-y. The company reported that the decrease was due to the divestment of UK activities at the beginning of the year. The company also stated that high order intake was once again recorded in the e-commerce fulfilment and pharma sectors. In Q3 2021, Contract Logistics acquired further customers for the warehousing of vaccines. For this purpose, an existing temperature-controlled distribution centre in Belgium is currently being expanded to a total of 25,000 sq m.
CEO of Kuehne + Nagel, Dr Detlef Trefzger commented: “Despite the challenging supply chain situation, we are on track and were again able to achieve an excellent business result in the third quarter. In the coming months, we do not expect any significant change in the constrained market situation.”
Source: Kuehne + Nagel Group
* $:CHF0.94/€:CHF1.08
