Norbert Dentressangle said its transport and logistics operations are “well on course” both in terms of growth and profitability, after posting a 19% increase in first-half earnings.
EBITA [earnings before interest, tax and amortisation] for all of its operations, including air and sea, rose from €55.1m (£51.9m) last year to €65.5m (£43.7m) in the first half of this year.
Turnover increased 13.4% to €2.1bn (£1.67bn), compared with €1.9bn (£1.51bn) last year.
In logistics, first half turnover increased 20% to €1.06bn (£840m) from €897m (£711m) in H1 2013. It said consolidation of its Fiege 3PL business boosted sales performance in Italy and Spain.
Operating income in its logistics division jumped from €31.8m to €37.7m, pointing to a “satisfactory” performance in most European markets.
In its transport business, turnover also increased to €1.06bn, up from €1.01bn (£800m) in the same period in 2013. This was attributed to its value-added contract distribution and pallet services.
ND also highlighted a number of key contract renewals in its transport division. Contract wins and renewals this year so far include Fernox, Mobis Parts Europe and Sabic UK Petrochemicals.
Operating income in its transport business increased to €26.9m from €23.8m, due to high pallet volumes and growth in its full load business.
Expanding horizons
Commenting on the results, Norbert Dentressangle CEO Hervé Montjotin, said: “The first half of 2014 took place in a European economic environment, which was boosted by growth in the UK economy and recovery in Spain. Against this backdrop and despite flat activity in France, Norbert Dentressangle capitalised on its ever expanding global footprint and its positioning within buoyant sectors.”
ND and private equity firm Oak Hill Capital Partners have also acquired US-based 3PL Jacobson Company for an undisclosed sum. It estimates that the deal, which is expected to close in September and is subject to regulatory approval, will increase its annual turnover by 15%.
It said the deal will help it expand its footprint in the US, which it claims is now its third biggest market behind the UK and France.
UK business
Speaking to Motortransport.co.uk, Montjotin said its UK business is "doing well" and highlighted its success with recent business wins including a fuel distribution contract Harvest Energy.
He pointed to a continued focus on e-commerce fulfilment, saying that many customers look for a "one stop shop" when choosing a logistics provider.
He added that ND is now "a real European player" but said it was "time to go global" and break into the US market.
The operator also acquired tanker operator Hopkinson Transport in April, adding 25 vehicles to ND’s 500-strong tanker fleet. It estimates that this will add £4m to its turnover.
