The 2017 financial results of global logistics provider, Dachser reveals the Asia Pacific region as providing the lion’s share of revenue growth. Consolidated gross revenue overall was EUR6.12bn (US$8.9bn) an increase of 7.2%. But Dachser Asia Pacific with its regional headquarters in Hong Kong boosted revenue by 25% with airfreight tonnage growing by 21.4%.
“Rising rates for air and sea freight in particular helped us achieve a significant increase in revenue.” said Bernhard Simon, chief executive Dachser SE. “We systematically pursued our successful export strategy for European overland transport and gained an additional tail wind from invigorated global trade.”
A strong 25% growth in turnover in Asia enabled Dachser Asia Pacific to exceed the EUR 400m mark for the first time in its history and garner EUR 426m. Intra-Asia development has been one important growth driver.
“Having a strong and long-term oriented focus on the Asia Pacific region, we are continuously developing services and trade lanes within our network,” said Edoardo Podestá, managing director Air & Sea Logistics Asia Pacific.
Dachser’s Asia Pacific network comprises 49 locations. It has constantly grown the past several years by moving into bigger offices, such as in Bangkok, Delhi and Dalian.
In 2017, the Asia Pacific team grew by 8.4% to a total of 1,672 employees. “We are committed to creating job opportunities and career paths for the next generation in Asia. Initiatives like our Asia Pacific Management Trainee Program are an outcome out of this strategy,” Podestá explained.
“Our focus on large, multinational customers led to excellent growth rates which overtook market growth not only in terms of turnover but also in terms of volumes,” Podestá added referring to the fact that shipments grew by 8.6%, air freight tonnage by 21.4% and teu by 12.5%.
Worldwide, Dachser set company records by handling a total of 81.7m shipments (+2.1 percent) weighing 39.8m mt (+4.3 percent). On a global level, Dachser created 1,648 new jobs in 2017.
The Air & Sea Logistics business field greatly invigorated business combined with a rise in freight rates—especially in air freight—to push gross revenue up by 15.7% to EUR 1.79bn. The number of shipments the business field handled overall was up 6.7%, while teu and tonnage increased by 8.5 and 23.3% respectively.
“Air and sea freight is a volatile business with revenue as ever swinging between extremes,” said Mr Simon. “We are, however, focused on ensuring sustainably profitable growth. So we are increasingly dovetailing our two business fields and are pushing forward with system integration.”