The Netherlands-based freight forwarder CEVA Logistics reported adjusted earnings before interest, taxes, depreciation, and amortization of EUR70 million (US$85 million) in the second quarter, a decrease of 13.6 percent from the same period last year, as improvements in Asia were offset by weakness in Southern Europe.
Revenue went up 5.5 percent to EUR1.8 billion, mostly on growth in the ocean freight market, the company said in a media release.
“This was a difficult quarter, characterized by flat markets and customer caution, partially offset by our efficiency programs, global footprint and robust business model,” said group CEO, John Pattullo. “Transpacific volume and weakness in Southern Europe remain a concern.”
Freight management revenues increased 9 percent, largely due to strong growth in the ocean freight business, particularly out of Asia.
Contract logistics grew 3 percent only, buoyed by strong performance in Asia-Pacific that was offset by the global economic downturn, particularly in Southern Europe.
Net working capital increased to EUR9 million in the quarter, primarily due to seasonality. “We continue to focus on improving net working capital and in particular reducing overdue receivables,” the company said.
Photo courtesy of CEVA
