The Danish global transport and logistics provider said the first quarter of 2017 was positively impacted by gains of around DKK 125 million in the Road division.
Danish global transport and logistics provider DSV A/S reported a gross profit of DKK 4.2 billion (U.S. $617 million) for the first quarter of 2017, a 17 percent year-over-year increase, according to the company’s most recent financial statements.
Operating profit before special items for the quarter totaled DKK 1.1 billion, up 75.6 percent from the first quarter of 2016.
This year’s first quarter was positively impacted by gains of around DKK 125 million in the DSV’s Road division. The quarter also included nearly one extra month of UTi activities compared to the first quarter of 2016, and the increase in earnings was driven by the realization of integration synergies, the company said.
DSV closed on its $1.35 billion purchase of UTi on Jan. 22, 2016, after the Long Beach, Calif.-based firm had struggled to turn a consistent profit.
In addition to higher profits for the quarter, DSV recorded a 19 percent year-over-year increase in net revenues, which reached DKK 18.2 billion.
Broken down by segment, the Air & Sea division recorded a gross profit of DKK 2.1 billion for the quarter, a 12.7 percent increase from last year’s first quarter. The division, which had 12,648 employees as of March 31, offers a global network, providing both conventional freight services and tailored project cargo solutions.
Meanwhile, the Road division posted a gross profit of DKK 1.4 billion for the quarter, a 14.4 percent year-over-year increase, and closed out the quarter with 12,576 employees. The division offers full load, part load and groupage services through a network of more than 200 terminals, and operates more than 20,000 trucks on a daily basis.
In addition, the Solutions division, which specializes in contract logistics and had 17,651 employees as of March 31, posted a gross profit of DKK 671 million for the quarter, surging 25.2 percent from the first quarter of 2016.
DSV’s revenues, profits surge in Q1
