Kuehne & Nagel reports 13% jump in Q2 earnings
Kuehne & Nagel International, the world's largest sea-freight forwarder, said second-quarter profit rose 13 per cent, boosted by more sea shipments.
Net income advanced to 154 million Swiss francs (S$203.5 million), or 1.31 francs a share, from 136 million francs, or 1.15 francs, a year earlier, the company said yesterday in a statement.
Profit exceeded the 150 million franc median analyst estimate in a Bloomberg News survey. Sales rose 6 per cent to 5.39 billion francs.
Growth in worldwide cross-border cargo traffic has added to earnings at Kuehne & Nagel, which arranges the transport of goods for companies such as Germany's Siemens AG and South Korea's Samsung Group. The company expects slowing growth in the logistics market because of 'unfavourable economic forecast' for the second half of the year, Kuehne & Nagel said yesterday.
'We prepared for any possible economic slowdown in good time, focusing on strict cost management and profitable growth,' chief executive Klaus Herms said in the statement.
The sea-freight unit recorded a 7.4 per cent increase in container volumes in the six months through June compared with a year earlier, helped by growth in trade from North America to Europe and Asia. The air-freight division increased tonnage by 11 per cent in the first half of the year.
The road and rail logistics division boosted first-half sales 7 per cent to 1.48 billion francs, helped by acquisitions.
Kuehne & Nagel added to its European overland transport operations with the purchase of two German competitors last November. The company said yesterday the unit may make acquisitions in south-west Europe in the second half of the year.
Global trade is expected to grow 6.3 per cent this year, the Organisation for Economic Cooperation and Development said last month. Kuehne & Nagel competes with Basel, Switzerland-based Panalpina Welttransport Holding and Bonn-based Deutsche Post, Europe's biggest mail carrier.
Net income advanced to 154 million Swiss francs (S$203.5 million), or 1.31 francs a share, from 136 million francs, or 1.15 francs, a year earlier, the company said yesterday in a statement.
Profit exceeded the 150 million franc median analyst estimate in a Bloomberg News survey. Sales rose 6 per cent to 5.39 billion francs.
Growth in worldwide cross-border cargo traffic has added to earnings at Kuehne & Nagel, which arranges the transport of goods for companies such as Germany's Siemens AG and South Korea's Samsung Group. The company expects slowing growth in the logistics market because of 'unfavourable economic forecast' for the second half of the year, Kuehne & Nagel said yesterday.
'We prepared for any possible economic slowdown in good time, focusing on strict cost management and profitable growth,' chief executive Klaus Herms said in the statement.
The sea-freight unit recorded a 7.4 per cent increase in container volumes in the six months through June compared with a year earlier, helped by growth in trade from North America to Europe and Asia. The air-freight division increased tonnage by 11 per cent in the first half of the year.
The road and rail logistics division boosted first-half sales 7 per cent to 1.48 billion francs, helped by acquisitions.
Kuehne & Nagel added to its European overland transport operations with the purchase of two German competitors last November. The company said yesterday the unit may make acquisitions in south-west Europe in the second half of the year.
Global trade is expected to grow 6.3 per cent this year, the Organisation for Economic Cooperation and Development said last month. Kuehne & Nagel competes with Basel, Switzerland-based Panalpina Welttransport Holding and Bonn-based Deutsche Post, Europe's biggest mail carrier.