Freight and logistics firm Panalpina Group reported strong results for the third quarter of 2011, with an 11 percent increase in gross profit. But after adjusting for a strong Swiss franc, profit was down 7 percent year-on-year.
Panalpina’s gross profit amounted to CHF356 million (US$405 million) in the third quarter for a 7 percent decrease, and CHF1.1 billion ($1.2 billion) for the first nine months of the year, an increase of 1 percent over the same period in 2010.
“We did very well, despite fierce competition and a challenging environment. Our focus on sustainable, profitable growth is clearly starting to pay off,” said CEO Monika Ribar.
“All regions and segments recorded an organic gross profit increase,” Panalpina said in a statement.
The Asia-Pacific region achieved a record gross profit for the first nine months and the highest gross profit growth in local currencies. It was followed by North America, Latin America, and the EMEA region.
Total earnings after interest and taxes reached CHF54 million ($61.4 million) in the third quarter, with CHF14 million ($16 million) lost due to currency adjustment. This is an 8.8 percent drop year-over-year.
Profit growth was led by air freight, which again was mainly driven by strong yields in a slowing market, Panalpina said.
Panalpina has slightly lowered its outlook for 2011 to zero market growth for air freight and 4 percent to 5 percent growth for ocean freight.
Picture from Panalpina
