Kuehne+Nagel more than doubles earnings in the first half of 2021

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Kuehne+Nagel more than doubles earnings

The continued recovery of the global economy led to strong demand for logistics services in the first half of 2021.

In this environment, the Kuehne+Nagel Group delivered an outstanding financial performance; all business units were able to significantly exceed prior year earnings.

At CHF 13.3 billion (£10.62 billion) , the Group’s net turnover for the first six months of 2021 was 35% higher than in the same period of last year while EBIT more than doubled to CHF 1.0 billion (£0.8 billion).

Dr. Detlef Trefzger, CEO of Kuehne + Nagel International AG, says: “This year, we are experiencing uniquely high consumer demand combined with supply chain uncertainty. Thanks to the tireless efforts of our employees, a successfully implemented strategy and our agile logistics solutions, we have once again met the increased service requirements of our customers in a challenging market environment. We expect demand to remain strong and look forward with confidence to continuing the positive development.”

Air Logistics

CHF million

H1 2021

H1 2020

Δ

Q2 2021

Q2 2020

Δ

Net turnover

3,976

2,460

62%

2,326

1,369

70%

Gross profit

959

642

49%

557

335

66%

EBIT

406

181

124%

243

110

121%

Despite global capacity constraints, Air Logistics recorded significant volume growth in the first half of 2021 thanks to tailor-made customer solutions such as combined sea and air freight. The business unit again recorded strong market share gains. Transport solutions for pharma and essential goods as well as e-commerce were in particularly high demand.

From May onwards, the first-time consolidation of Apex also contributed to the overall result. The company is one of Asia’s leading freight forwarders, especially on the transpacific trade route. Together, Kuehne+Nagel and Apex offer their customers a compelling value proposition in the competitive Asian logistics industry, especially in e-commerce fulfilment, hi-tech and e-mobility.

Air freight volumes in the first half of 2021 were up 44% on the same period last year at 988,000 tonnes. Net turnover was CHF 4.0 billion (£3.19 billion) and EBIT CHF 406 million (£324.1 billion). The conversion rate was 42.3%.

The demand for ecologically-friendly solutions such as Sustainable Aviation Fuel (SAF) expanded sharply over the period. In response, Kuehne+Nagel entered into partnerships with American Airlines, IAG Cargo (British Airways) and Air France-KLM Martinair Cargo.