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Archives for April 2017

Dachser UK Continues Promising Growth on the Back of Thriving Exports

4 April 2017Dachser Brackmills April14 #2

The logistics service provider, Dachser, has enjoyed another year of growth in the UK, seeing net sales for 2016 rise by almost 12 % to £ 66.1 M.

The company’s single most important business sector, European road export services, has been at the forefront of that growth, increasing by 15% and accounting for just under 45 % of Dachser’s UK revenues.

‘We recognise that exporters need to rest assured that their customers’ orders are delivered on time and in-full without exception,’ explains Nick Lowe, Dachser’s UK Managing Director. ‘This is true regardless of where the goods are heading, whether in the UK, Europe or further afield. It’s our mission to ensure that companies can rely on us to fulfil these expectations on an on-going basis, building up their own confidence and creating a solid platform from which to develop further growth in their export sales.’

With Brexit now clearly on the horizon, there are more and more yet unanswered questions regarding the shape of UK / European supply chains in the future. However Nick Lowe is upbeat about the prospects for UK exporters and the degree to which they will be able to compete with their peers located in the EU itself.

‘It’s true that there many open questions about such matters as Customs clearance and the application of product standards,’ he says, ‘but for us it’s a question of keeping close to our customers and listening to their evolving needs as things become clearer, re-engineering our services to whatever extent is necessary. Our AEO accreditation is a good and reliable basis for further development of our Customs clearance services for EU consignments, something which could well become very important to consider as the EU / UK negotiations progress. We also offer a full Contract Logistics service, both in the UK and within Europe, should customers decide to build up local and / or European warehoused stock holdings to serve their different markets in the future.‘

It is Dachser’s daily connections to a wide range of key hub locations across a comprehensive European network ensuring a fast, reliable and competitive service that is at the core of the Company’s continued growth. The network comprises over 400 locations in a total of 37 countries: 24 of those countries are the responsibility of Dachser’s own country organisations and branch offices, and the remaining 13 countries are served by strategic partners.

All in all, comprehensive IT connectivity and integration within the network provide full transparency in cargo tracking and quality monitoring, giving exporters peace of mind and comfort that their cargo is in safe hands en route to their European customers.

As regards future developments, the combination of contract logistics and value added services is seen by the Company as a major strategic growth area, and over the past few years it has seen several new business wins especially in the retail sector including Excise Bond warehousing and UK & Ireland distribution. The development accelerated soon after the opening of Dachser’s new Northampton logistics centre in 2014, and a second warehouse in close proximity had to be secured towards the end of 2015 in order to provide the necessary additional capacity for both racked and block-stack products.

Looking further afield, through its global ‘interlocking’ programme, Dachser is also able to offer international air & sea freight logistics solutions, helping its customers to reach new markets with ease and to further develop existing ones.

As the Company continues to grow, it is widening the scope of its already well-established Apprenticeship programme. The success of this programme is at the heart of Dachser’s strategy to provide their staff with appropriate support and training in order to enhance their career development and to create an attractive and rewarding working environment. In 2016, its workforce grew by 7% to 385 people.

ENDS

ABOUT DACHSER UK

Dachser UK is part of the Dachser group, a major international logistics provider which on 31 December 2016 generated total sales worth EUR 5.71 billion. 27,450 staff working in 409 locations worldwide handled 80 million consignments comprising 38.2 million metric tonnes. Dachser has been established in the UK since 1975, and now has four locations which include a new logistics centre in Northampton as well as branch offices in Rochdale, Dartford and Bristol.

Dachser aims to be the supplier of choice for European logistics and value-added services. A fully-integrated European distribution network provides a comprehensive, high quality service of total freight solutions supported by the latest technology. Core services in the United Kingdom comprise European export, import and UK pallet distribution, as well as contract logistics and value added services.

For more information, please visit www.dachser.co.uk

 

Dachser is growing and investing in the future

Kempten, Munich. April 4, 2017. Dachser continued to grow in fiscal year 2016, generating consolidated gross revenue of around 5.71 billion euros—representing a consolidated revenue increase of 1.7 percent on the previous year. The number of shipments rose by 2.4 percent to 80.0 million, and tonnage by 2.4 percent to 38.2 million metric tons. This growth was driven by European overland transport as well as food logistics.

“Despite the volatility of the global economy, we were able to maintain our stable market position through organic growth at the previous years’ levels, while simultaneously developing solutions for tomorrow’s market,” says Dachser CEO Bernhard Simon.

Business development in specific sectors

In the Road Logistics business field, which accounts for 75 percent of Dachser’s total revenue, the European Logistics (EL) business line profited from the company’s consistent export strategy, which resulted in a 2.4-percent increase in gross revenue to 3.5 billion euros. Shipments and tonnage increased by 2.2 and 2.3 percent, respectively. “Our country organizations have benefited all around from the strong demand for cross-border transports in the European single market. As far as the exchange of goods is concerned, Europe is and will remain stable and closely interconnected,” comments Simon.

Dachser Food Logistics once again achieved the highest growth rate, with revenue increasing by 9.5 percent to 812 million euros. It has been buoyed primarily by strong domestic business in Germany’s consumer goods sector. The second component in its success is the European Food Network for cross-border food transport.

With 13 partners, 10 associate members, and regular line haul services among 34 countries, the Food Network has the greatest geographic coverage in Europe. “Our market-leading level of quality and the positive effects of the European Food Hub in Erlensee near Frankfurt contributed to this satisfying growth,” Simon explains.

In the Dachser Air & Sea Logistics business field, revenue decreased by 3 percent to 1.54 billion euros, while the number of shipments remained constant. This decrease in revenue was due to low international freight rates, especially in sea freight, and negative currency effects. “We know how to deal with the volatile nature of international air and sea freight, and are consistently expanding this business field,” says Simon.

Dachser offers its customers in this segment worldwide supply chains, routes that closely interlock with the overland transport network in Europe, and uniform IT systems. The company also aims to attract customers outside Europe by expanding intra-Asian transport operations and through the targeted organic growth of its network in the Americas.

Investments in networks and in research and development

Dachser has increased the volume of its planned investments from 125 million euros in 2016 to 177 million euros in 2017. The main focus of these investments lies on expanding network locations, IT systems, and research and development. “We are intensively studying all aspects of the logistics solutions of the future and the extent to which they can be digitalized. Dachser has launched group-wide innovation processes at numerous levels in order to maintain its pioneering role in the industry,” Simon emphasizes.

The logistics provider has also been investing in the expansion of its contract logistics services, creating more than 350,000 square meters of additional warehouse space providing room for over 300,000 pallets in the past two years alone. Dachser can thus now offer its customers over two million pallet spaces in almost 200 warehouses on four continents.

Revenue at a glance:


Sales revenue

(in EUR millions)

2016

gross2

2015

gross3

Change

in percent

Road Logistics1 4,307 4,154 + 3.7
European Logistics 3,495 3,412 + 2.4
Food Logistics 812 741 + 9.5
Air & Sea Logistics 1,542 1,590 – 3.0
Consolidation
(minus revenue from corporate holdings of 50 % or less)
– 143 -133 + 7.5
Consolidated revenue1 5,706 5,611 + 1.7


1
The amounts stated for “Road Logistics,” “Consolidated revenue,” and percentage change compared with the prior year are based on the unrounded revenue figures for the Business Lines. This may result in slight deviations in the addition or calculation of percentage changes compared with the rounded revenue figures shown in the above table.

2Provisional data, gross amount incl. customs duties and import turnover taxes

3Final data for 2015, gross amount incl. customs duties and import turnover taxes

About Dachser:

Dachser employs some 27,450 people at 409 locations worldwide, and is represented by country organizations in 43 countries. In 2016, the company generated revenue of 5.71 billion euros and handled a total of 80 million shipments weighing 38.2 million metric tons. For more information about Dachser, please visit www.dachser.com