Earnings for the quarter increased year-over-year despite negative changes in currency relations, according to the third party logistics provider’s latest financial statements.
The Kuehne + Nagel Group increased net profits 2 percent to 153 million Swiss francs ( for the first quarter of 2015, compared to the same period in 2014. Revenues for the third party logistics provider were down slightly, from 4.13 billion Swiss Francs to 4.09 billion Swiss francs.
According to a statement from the company, these results came despite currency changes related to the Swiss franc and the euro that “negatively impacted the result by 7 percent.”
In Kuehne + Nagel’s ocean freight division, container volumes were down slightly in Q1 2015, falling .7 percent compared to the previous year. The company noted, however, it grew gross profit per TEU 2.2 percent and increased its conversion rate from 28.8 per cent in 2014 to 29 percent in 2015.
Airfreight volumes increased 7 percent compared to the first quarter of previous year’s period. Kuehne + Nagel attributed the tonnage growth primarily to acquiring a “significant share” of the European exports and growing volumes in exports from North America and Asia.
The overland division of Kuehne + Nagel saw revenues decrease 15.2 percent “due to the discontinuation of project business and lower rates as a result of declining diesel prices.” The company still increased earnings before interest and tax (EBIT) for the division from CHF 3 milllion to CHF 4 million thanks to increased business in focused industry segments and strict management of operational costs.
Dr. Detlef Trefzger, CEO of Kuehne + Nagel International AG, said in a statement, “The development of our results is remarkably positive, considering the decreasing import flows of goods to Europe due to the weakness of the Euro. In addition, the strong Swiss Franc negatively affected the result. We will pursue our strategy of profitable growth.”
Kuehne + Nagel Group posts improved Q1 results
