Significant increase in sales revenue and profits for duisport Group
Duisburg, 16.04.2015 | Total operating performance for the 2014 business year increased to EUR 198 million / Record net profit of EUR 14 million / Workforce surpasses 1,000 employees for the first time
The duisport Group generated a total operating performance of EUR 198 million during the 2014 business year. The company's performance, including revenues from strategic participations, increased by 13% compared to the previous year (2013: EUR 175 million), reaching a new record. In the case of the EBITDA (earnings before interest, tax and depreciation and amortization), the result from 2013 (EUR 30 million) was surpassed by even 17% (EUR 35 million). The result before taxes also reached a new record at EUR 14 million (2013: EUR 12 million). "All three business segments contributed to the excellent total operating performance of the duisport Group. Notwithstanding a difficult market environment in the logistics and packing area in terms of price, we have been able to increase the total return of the group by implementing many process improvements. Our integrated service portfolio thus remains the basis for a stable earnings development," emphasizes Erich Staake, Chief Executive Officer of Duisburger Hafen AG, at this year's annual results press conference.
All of the three business segments of the duisport Group - Infra- and Suprastructure, Transportation and Logistic Services and Packaging Logistics - were able to increase their business volumes in 2014. While the business segment Infra- and Suprastructure grew its sales by 4% to approximately EUR 48 million (2013: EUR 46 million), sales in the area of logistic services grew by 11% to EUR 60 million (2013: EUR 54 million). The increase in sales in this business segment is mainly due to the automotive business, the expansion of activities on the coal complex and higher handling volumes at the logport III combined transportation terminal.
Packaging Logistics generated sales of EUR 72 million - a gain of 24% compared to the previous year (2013: EUR 58 million). In addition to the newly acquired Weinzierl companies, which were fully included for the first time, this segment was also successful in expanding existing customer relationships and acquiring new customers.
The duisport Group undertook investments of approximately EUR 17 million in the 2014 business year (2013: EUR 50 million), with an investment focus on expanding handling and terminal capacities.
The duisport Group's workforce has also grown, as the company's workforce surpassed the level of 1,000 employees for the first time during the course of the year. Employment levels thus increased by around 9% compared to the previous year (920 employees).
"Qualified and committed employees are the guarantor of sustained growth. Therefore we are confident that we will be able to continue the excellent results of the past year into 2015," says Staake.
Increased performance for all transport carriers
Total goods handling for all Duisburg ports was 131 million tonnes last year (2013: 123 million tonnes). This increase is due to higher handling volumes in the private commercial ports, and higher volumes at the duisport Group.
The total handling volume at the ports of the duisport Group reached a new record at 65 million tonnes (2013: 62 million tonnes). Handling volumes for rail and ship reached 33 million tonnes in 2014 - after 31 million tonnes in 2013. Both rail handling volumes of 17 million tonnes (2013: 16 million tonnes) and ship handling volumes of 16 million tonnes (2013: 15 million tonnes) were able to surpass the previous year's level.
The result for combined transportation is particularly positive. The handling volume for containers rose by 13 percent to 3.4 million TEU (2013: 3 million TEU). "In the container area, we are registering double-digit growth for all traffic carriers. Our aim is to continue expanding our market share in 2015, as we have done in previous years," says Staake.
The positive developments in 2014 are mainly due to the successful investments of the past few years, the resulting influx of international customers and the demand-based expansion of terminal and handling capacities at the Port of Duisburg.
Expansion of handling capacities to 5 million TEU
Terminal and handling capacities at the logistics centers logport I and logport III, which are situated on the left side of the Rhine, were expanded in 2014. Four new gantry cranes were commissioned in addition to the expansion of the rail infrastructure and the enlargement of handling and depot areas by a total of 13 hectares. The last rail crane will go into operation at logport III in June. At that time, there will be a total of 21 gantry cranes in the Port of Duisburg, with a total handling capacity of 5 million TEU.
"Combined transportation will continue to be the main growth driver in the Port of Duisburg in the future. With the targeted expansion and development of terminal capacities, we are creating the conditions for additional growth. This will allow us to further consolidate our position as the largest container handling location in Central Europe," explains Staake.
Additional measures, such as the hub concept for customers from the logistics and loading industries, which was developed by duisport during the last few years, also increase the attractiveness of this location. "The example of the Dutch rail operator DistriRail, which now uses duisport as a central hub for distributing its goods into the European hinterland, underlines this positive development."
Successful marketing activities to continue
Marketing performance for the past business year, which was around 232,000 m² (2013: 265,000 m²), was similar to the previous year. Following the 2013 re-activation of the first 60,000 m² on the coal complex taken over by the duisport Group for the handling of imported coal, usable space more than doubled at the beginning of 2014 to 125,000 m². Additionally, the company entered into a long-term partnership with HMS Bergbau AG Coal Division (HMS) for the further development of the coal complex in October 2014. Up to 500,000 tonnes of additional coal a year will be handled at this location in the future.
In March 2014, long-standing customer NYK / Yusen Logistics moved into a new 26,000 m² logistics center at logport I. This is already the fourth expansion stage for NYK / Yusen Logistics.
The groundbreaking ceremony for the construction of a new 15,000 m² central warehouse for the company Benteler Distribution took place in April 2014. Once the warehouse is completed, Benteler will have Europe's largest high-rack system with an area of 35,000 m² and a capacity of 20,000 tonnes of pipes. Construction is slated to be completed in the second quarter of 2015.
"The future outlook for this region lies in the efficient networking of industry and logistics. With the development of additional commercial and logistics areas in the Rhine/Ruhr region, we will continue to offer our customers an excellent connection to the multimodal duisport hub in the coming years," says Staake.
Expansion of international commitment
The duisport Group continued to expand its international service range in 2014. The company proceeded with the development of new markets for its customers particularly in the area of packing logistics. In the year 2014, the company focused on expanding its activities in southern Germany. In addition, activities in China and India were also gradually increased. A new location in Rotterdam also went into operation at the beginning of 2014. duisport packing logistics (dpl) is now represented in 20 locations in six countries, and therefore offers excellent support for its customers in the capital goods industry for the bundling and logistical optimization of their flows of goods.
Working with different rail operators, duisport continued to expand its transcontinental railway connections to China last year. Now up to four trains a week run between Duisburg and various destinations in China, including Shanghai, Beijing and Chongqing. Particularly the automotive industry uses the rail connection to China to transport automotive components to local production locations. In addition, trains carrying finished goods from German premium manufacturers have been running between Duisburg and Chongqing since August 2014. "The growth markets in Asia and neighboring European countries are of great interest to us. We are also willing to take a look at engagements in south-eastern Europe," concludes Staake.