Dachser: Internationalization Fuels Growth

Kempten, Munich. April 9, 2014. A strong second half-year and the successful integration of the two Spanish acquisitions, Azkar and Transunion, boosted Dachser’s revenue in 2013. The logistics service provider was able to increase its gross revenue by 13.2 percent, to 4.99 billion euro. When investment income is included, the company exceeded the revenue milestone of five billion euro for first time this past fiscal year.  Dachser pushed into a new dimension of internationalization also in regard to figures for employees, locations, and shipments.

Here is an overview of the most important key indicators for 2013:

• 13.2 percent increase in gross revenue, to 4.99 billion euro
• 24,900 employees, 3,250 more than last year
• 471 locations in 42 countries
• 69.6 million shipments (up 19 percent)
• 119 million euro invested in tangible assets

At a press conference in Munich, Dachser CEO Bernhard Simon expressed great satisfaction with the integration and business progress of the Spanish companies Azkar and Transunion, which were acquired in January 2013.  “Azkar consistently focused on international business and thereby generated the expected network effects, most notably in conjunction with our reinvigorated French country organization.

Transunion not only strengthened our sea freight business and the transatlantic routes, but also completed the integration in record time: The company has already been doing business under the Dachser name since 1/1/2014.”

Internationalization as the key driver of growth

While Food Logistics achieved an 8.2 percent increase in revenue on its own, European Logistics and Air & Sea Logistics grew primarily as the result of acquisitions. At the group level, Dachser achieved organic revenue growth of 2.3 percent. Dachser CEO Simon in this regard: “For about two years now, we have only been seeing marginal growth in the major logistics markets such as Germany. In the future, dynamic growth will be driven by international, cross-border freight services. This applies to the groupage business with industrial customers, to contract logistics, and also to food logistics, which has traditionally been set up on a regional, rather than national basis. With the start-up of the European Food Network, consisting of twelve partners in 21 European countries, we have forged a pioneering alliance in this regard—one that has greatly resonated with customers.

Because shipping volumes are no longer increasing as sharply as in the past, Dachser’s substantial investment in the physical logistics infrastructure in Europe can be somewhat curtailed in the future. In 2013, 119 million euro were invested in tangible assets, primarily in new construction and expansion of branches such as in Langenau, Schönefeld, Northampton, and Lyss, Switzerland near Bern. The amount budgeted for 2014 is 110 million euro. Simon: “For the upcoming five-year period, we are budgeting an adjusted investment volume of about one billion euro.”

Many new records

Dachser set many new records in 2013. The number of employees reached 24,900 by the end of the year, with 48 percent of the workforce employed outside of Germany. The number of shipments soared to 69.6 million (a 19 percent gain), thanks to Azkar’s strong market position in the industrial parcels business. The group’s tonnage, not counting TEU, increased to 32.9 million tons (a 9 percent gain). Dachser has a network of 471 branches at its disposal and is now represented by facilities of its own in 42 countries around the world (5 more than before).

Good prospects for 2014

Bernhard Simon was optimistic about Fiscal Year 2014. Aided by the mild winter, the momentum from the 4th quarter of 2013 carried over into the new year. “Sustainable growth based on expansion of international traffic and valuable contract logistics services outside of Europe as well.” That’s the focus for 2014, as stated by Simon. “Last year, Dachser definitely matured into a worldwide company. Our task now is to strengthen local management under the umbrella of the global organization. Because consistent proximity to our customers is essential in order to keep Dachser on the path of growth in the future as well.”

About Dachser:

Dachser, a family-owned company headquartered in Kempten, Germany, is one of the leading logistics providers in Europe.

Dachser provides comprehensive transport logistics, warehousing, and customer-specific services in three business fields: Dachser European Logistics, Dachser Food Logistics, and Dachser Air & Sea Logistics. Comprehensive and multi-disciplinary services, such as contract logistics, consulting and advisory services, and industry-specific solutions round out the company’s offerings. A seamless transport network—both in Europe and overseas—and information technology that is fully integrated into all its systems provide intelligent logistics solutions worldwide.

With a staff of 25,000 employees at 471 locations all over the globe, in 2013, Dachser generated revenue of almost EUR 5 billion and handled about 70 million shipments.

For more information about Dachser, please visit www.dachser.com