Amt Wachsenburg/Kempten, May 7, 2020 – Logistics provider Dachser is setting the course for its future growth in the German state of Thuringia, where it is investing in its logistics centre in the city of Erfurt. In addition to a new 20,000 m² warehouse with office space, the company also plans to construct a waiting zone and parking spaces for trucks. The groundbreaking ceremony took place yesterday in a lot off of Am Lützer Feld in Arnstadt, an Erfurt suburb.

Due to the coronavirus, only a few people attended the groundbreaking. “We’ve been working here in Erfurt for many years in structures that have been built up across multiple sites,” says Dr Rimbert J. Kelber, General Manager of Dachser’s Erfurt logistics centre. “We are consolidating them into this new warehouse so that we can offer our customers contract logistics services—in other words, storage, and value-added services—all from a single source at a state-of-the-art location. This enables us to tap into opportunities for further growth in the region, as we want to get things going again once the coronavirus crisis is past.”

Dachser will move into the new warehouse as a tenant. It is not far from the current transit terminal on Industriestrasse on a lot measuring 28,000 m², with two warehouses offering 10,000 m² of storage space each. Combined, both buildings contain 20,300 pallet spaces and 8,500 m² of block stacking space. After the new facility is finished in the first quarter of the coming year, Dachser will use it to handle contract logistics activities for various customers in the consumer goods sector.

“Even in times of crisis, we keep looking toward the future, and we are confident we will be able to continue our success at the Erfurt location after the corona crisis is over,” says Alexander Tonn, Managing Director European Logistics Germany, who is responsible for Dachser’s industrial goods business in Germany. Dachser opened its first location in Thuringia in 2004 and provides logistics services for customers from the industrial and food sectors.

ENDS

About Dachser:

A family-owned company headquartered in Kempten, Germany, Dachser offers transport logistics, warehousing, and customer-specific services in two business fields: Dachser Air & Sea Logistics and Dachser Road Logistics. The latter consists of two business lines: Dachser European Logistics and Dachser Food Logistics. Comprehensive contract logistics services and industry-specific solutions round out the company’s range. A seamless shipping network—both in Europe and overseas—and fully integrated IT systems ensure intelligent logistics solutions worldwide.

Thanks to some 31,000 employees at 393 locations all over the globe, Dachser generated consolidated net revenue of approximately EUR 5.7 billion in 2019. That same year, the logistics provider handled a total of 80.6 million shipments weighing 41.0 million metric tons. Country organisations represent Dachser in 44 countries. 

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

Revenue up by a solid 1.6 percent in 2019; European overland transport grows 2.9 percent; EUR 151 million invested in logistics facilities and IT systems

Kempten, April 7, 2020. Even as the global economy becomes increasingly weaker, Dachser was able to continue growing in 2019. The logistics provider increased its consolidated net revenue by a solid 1.6 percent to EUR 5.66 billion. Driving this growth was again the Road Logistics business field, net revenue rose by 2.9 percent to EUR 4.60 billion. In contrast, the Air & Sea Logistics business field saw a decline of 4.1 percent, mainly attributable to weaker demand for air freight services for automotive customers.

The revenue growth at the Group level contrasts with declining shipment and tonnage figures. Although the number of shipments was down by around 3.7 percent from 83.7 to 80.6 million, tonnage fell only slightly compared to the previous year, slipping by 1.0 percent from 41.4 to 41.0 million metric tons. “When the economic wind turns, quality and reliability count more than ever,” says Bernhard Simon, CEO of Dachser. “That’s why we’re all the more committed to ensuring our employees are well-qualified and motivated and why we’re continuously investing in our network, our processes, and our IT.”

Business development in detail

Dachser’s Road Logistics business field—which comprises the transport and storage of industrial goods (European Logistics) and food (Food Logistics)—continued to provide stability while driving growth at the company. In 2019, Road Logistics increased its consolidated net revenue by 2.9 percent from EUR 4.47 to 4.60 billion. The Business Line European Logistics contributed 3.63 billion Euro (+2.4 percent) to the Road Logistics revenue. “Cross-border services remained strong and contract logistics saw positive development throughout Europe. Although the situation on the freight market relaxed in the course of 2019, the shortage of drivers and lack of qualified personnel in Germany and many other European countries continues to be our most pressing challenge,” Simon explains.

Dachser’s Food Logistics business line achieved the strongest growth in 2019, recording revenue growth of 5.1 percent from EUR 917 to 964 million. The number of shipments handled declined by 1.7 percent and tonnage saw a slight rise of 0.6 percent. “Food Logistics has been a reliable pillar of our business model for years,” Simon says. “The alliances with our partners in the European Food Network have proven to be extremely stable and fruitful.”

In the Air & Sea Logistics business field, revenue declined by 4.1 percent in 2019, from EUR 1.19 to 1.14 billion; the number of shipments was down by 5.6 percent. “In Air and Sea Logistics, we’re feeling the effects of the business climate, which is very volatile and greatly impacted by the disruptions to world trade,” Simon says. “In our air freight business, the effects of the weak demand for transport services from the German automotive industry are particularly evident.” In 2019, Dachser took steps to future-proof this business field. These included adding the life sciences/pharmaceutical and fashion & sports sectors to its customer portfolio and expanding rail services along the New Silk Road. Air and sea transports, particularly for LCL, were connected more tightly with the European overland transport network. In addition, the rollout of Dachser’s Othello transport management system, developed in-house, is now essentially complete. “By mid-2020, we will use our own transport management system to handle 99 percent of all shipments. The resultant improvements in efficiency and productivity allow us to add further value for our customers,” Simon says.

In the coronavirus crisis – An anchor of stability in difficult times

To further improve the quality of its services, last year the family-owned company invested EUR 151 million in the construction or expansion of transit terminals and warehouses and in IT systems and technical equipment. Investments of a similar amount are planned for the current year, too. However, due to the coronavirus outbreak, Dachser, like many companies, will have to readjust its targets. Simon explains: “The final impact on our business is difficult to predict; all we can do is reassess the situation daily and respond accordingly, taking an agile and flexible approach.  In view of the current restrictions on business activities, we can’t avoid a downturn in volume in our industrial goods business, especially in Spain and France. However, in terms of our service portfolio and customer structure, we deliberately adopt a very broad position so that we can adapt well to new scenarios. As a logistics provider, we are a key link in the basic supply chain for the food sector, and we expect this business to remain relatively stable.”

Dachser further increased its equity ratio in 2019 to over 57 percent. With its current workforce of some 31,000, Dachser has more employees than at any other point in its history. “We’re very proud of this because our employees are the heart and backbone of the service we provide. Securing jobs is our top priority in 2020,” Simon says. “We also want to remain a stable and reliable partner for customers and subcontractors. Together, we’ll overcome the crisis surrounding the coronavirus with fair prices and fair remuneration, and lay the foundations for future growth.”

Overview of net revenue:

About Dachser:

Thanks to some 31,000 employees at 393 locations all over the globe, Dachser generated consolidated net revenue of approximately EUR 5.7 billion in 2019. That same year, the logistics provider handled a total of 80.6 million shipments weighing 41.0 million metric tons. Country organizations represent Dachser in 44 countries. For more information about Dachser, please visit www.dachser.com