Karachi, November 15, 2010: Deutsche Post DHL, the world’s leading postal and logistics group, continued the sound performance of the first half of 2010 during the third quarter, generating another double-digit increase in revenue. Despite a slight decline in the MAIL division, also resulting from a regulatory change in value-added tax that took effect in July, consolidated revenue rose 13.9 percent to EUR 12.8 billion driven by strong growth generated by all three DHL divisions. In particular, this performance reflects increased transport volumes, higher freight rates and the continuing success in attracting new customers. During the past quarter, the Group also profited from positive currency effects.
Additional margin gains in the DHL divisions also resulted in the significant increase in profitability. Underlying EBIT totaled EUR 543 million, 43.7 percent above the previous year’s level. Efficiency improvements also contributed significantly to the Group’s ability to generate a consolidated net profit of EUR 226 million in the third quarter, following the loss of EUR 83 million in the same period last year.
“The company’s very good performance in the third quarter demonstrates once again that we have an exceptionally good position that allows us to profit tremendously from positive economic trends,” said Deutsche Post DHL CEO Frank Appel. “Our strategy is robust, our efficiency programs are paying off, and our customers are rewarding our efforts.”
In the third quarter of 2010, reported EBIT more than doubled, rising from EUR 231 million in the same period last year to EUR 545 million in 2010. The Group’s net financial result improved as well. At minus EUR 222 million, it was well above the previous year’s total of minus EUR 310 million. This improvement largely reflects changes in the valuation of financial instruments related to the sale of Postbank: While last year’s figure included negative effects totaling EUR 188 million, the effect in relation to the Postbank sale had only an impact of minus EUR 123 million on the net financial result in the third quarter of this year. The consolidated net profit after minorities climbed to EUR 226 million. This equals an improvement in earnings per share to EUR 0.19. In the same quarter last year, the company reported a consolidated net loss of EUR 83 million and earnings per share of minus EUR 0.07.
The GLOBAL FORWARDING, FREIGHT revenues profited the most from the recovery of the global economy in 2010. Transport volumes, particularly in air freight, have continued to rise considerably in the third quarter of 2010. In combination with higher prices, high double-digit revenue gains were generated mainly in the air but also in the ocean freight category. Overall, the division’s revenues rose EUR 1 billion to EUR 3.7 billion in the third quarter of this year. This represents a jump of 35.8 percent over the previous year’s level of EUR 2.7 billion, reflecting a further acceleration of growth in this division since the second quarter. This was also the case for profitability as the division was increasingly able to pass on the higher freight rates being charged as a result of increased demand for tighter freight capacities to its customers. This fact coupled with strict cost discipline allowed underlying EBIT to rise 34.2 percent from EUR 76 million in the third quarter of 2009 to EUR 102 million in 2010.
Note to newsrooms: You will find an interview with CFO Larry Rosen and other
background information at www.dp-dhl.com. The investor conference call will be
transmitted on the Internet beginning at 2 p.m.
Contact for media queries:
Deutsche Post DHL
Media Relations
Silje Skogstad
Sebastian Steffen
Tel.: +49 (0)228 182-9944
Deutsche Post DHL is the world’s leading postal and logistics services group. The Deutsche Post and DHL corporate brands offer a one-of-a-kind portfolio of logistics (DHL) and communication (Deutsche Post) services. The Group provides its customers with both easy to use standardized products as well as innovative and tailored solutions ranging from dialog marketing to industrial supply chains. About 500,000 employees in more than 220 countries and territories form a global network focused on service, quality and sustainability. With programs in the areas of climate protection, disaster relief and education, the Group is committed to social responsibility. In 2009, Deutsche Post DHL revenues exceeded € 46 billion.
The postal service for Germany. The logistics company for the world.
For additional information, visit www.dp-dhl.com
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