Panalpina kept up overall profitability in the first nine months of 2014. Undeterred by ongoing restructuring, group gross profit and EBIT both increased 1 per cent (currency adjusted +6 per cent and +4 per cent), reaching CHF 1,178.7 million and CHF 94.4 million respectively. EBIT loss in Logistics was reduced drastically to CHF 6.9 million for the period of January to September (down from CHF 26.8 million in the same period of 2013). Air freight and ocean freight volumes grew 4 per cent and 8 per cent year-to-date, but unit profitability decreased due to margin pressure and currency effects.
We have managed to keep up profitability in the first nine months of the year,” says Panalpina CEO Peter Ulber. “I am particularly pleased with our progress in logistics, where we have significantly reduced losses and are close to reaching break-even. We also showed continued good volume growth in air freight and very strong volume growth in ocean freight.”
Panalpina’s Air Freight volumes grew 4 per cent in the first nine months of 2014, slightly ahead of the market. Gross profit per ton decreased 5 per cent to CHF 745 (YTD 2013: CHF 781). As a result, gross profit remained practically unchanged at CHF 469.0 million (YTD 2013: CHF 473.0 million). Air Freight achieved an EBIT of CHF 85.3 million, 8 per cent less than in the same period of last year (YTD 2013: CHF 93.0 million). The EBIT-to-gross-profit margin for the first nine months of 2014 decreased to 18.2 per cent (YTD 2013: 19.7 per cent).