Kuehne + Nagel says it is back on track after a weak start to the first six months of trading this financial year.
Citing muted consumption and increased market volatility throughout the world, the Swiss logistics giant saw turnover increase just 2.8% to CHF10bn (£6.5bn) for the six months ending 30 June (2011: CHF9.78bn). Globally, EBITDA was down from CHF502m in the same period a year ago, to CHF389m.
Its road and rail division reports that its groupage, full and part load expansions were successful and its business development in the UK was “satisfactory”.
Karl Gernandt, chairman of Kuehne + Nagel, says: “In the last months, the global economic momentum softened much more than predicted and has also impacted the logistics sector. In this challenging environment the focus has been set on achieving profitable growth."
He adds that the company “demonstrated its strengths in the current market conditions, especially in the second quarter”.
“In the meantime, the implemented cost-reduction program had a positive effect and the group is getting back on track to achieve the profitability and productivity goals set for the full year 2012,” he says.
In March, Kuehne + Nagel signed a deal with Spirit Pub Company to handle its food service logistics.
