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Published: 20 April 2017      

Box boom for Kuehne + Nagel

eCommerce helps drives container volumes for Keuhne + Nagel up 9% to 1M TEU in Q1.

Kuehne + Nagel has just reported its Q1 2017 results. In the ocean freight the 9% increase in volume to over 1M TEU was an exceptional result, growing “more than twice as fast as the overall market” the company stated. 

Kuehne + Nagel is the industry’s largest global sea freight forwarder, and one of the early adopters of an online quotation and booking system for ocean freight. Commenting on its sea freight division result the company said: “The Group gained significant market shares in almost all trade lanes, particularly in the transatlantic and transpacific relations. Kuehne + Nagel's customer information system, KN Login, proved to be a decisive success factor for winning new business”. 

While the company increased “cost efficiency” in its ocean freight business, at the same time it noted that “Margins continued to remain under pressure and thus were under the previous year's level, however, stable compared to the fourth quarter 2016”.

Kuehne + Nagel also reported a strong result in its overland business segment. “ In the first three months of 2017, clearly exceeding market growth, turnover increased by 5.0 per cent compared to the previous year. Higher volumes in the groupage, full truckload and intermodal businesses and the increased demand for industry-specific solutions, particularly for the pharma and the expo & event sectors contributed to the positive development. Continuous process automation supported the improvement of the operational performance resulting in a 75.0 per cent EBIT increase,” the company reported.

Overall, net turnover for the company increased by 7.2% to CHF 4,299 M and gross profit was up 3.5% to CHF 1,648 M.



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