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DHL overcomes economic tailwinds with increased revenue

[ November 5, 2024   //   ]

DHL Group posted revenue of €20.6 billion in the third quarter of 2024, up 6.2% compared with the same period of 2023. Operating profit (EBIT) was €1.37 billion, similar to last year.

Chief executive Tobias Meyer said that global trade momentum was weak but the group had significantly increased revenue in the third quarter and initiated a profit turnaround compared to the prior-year quarter. He added: “We have been working without any economic tailwind since the end of 2022. This makes our continued focus on cost and capex control, price adjustments, and the fine-tuning of our network even more important. Our sales, earnings, and free cash flow performance in the third quarter show that our measures are working.”

In the peak season in the final quarter of this year, DHL Group expects a typical ramp up in the B2C e-commerce shipments. Its Express arm is deploying additional Boeing 777 cargo aircraft on routes between Asia and Europe while Supply Chain plans to use almost 500 additional robots and around 5,000 temporary workers.

While the Group expects to benefit from a seasonal increase in B2C shipment volumes to the end of the year, based on the trading in October there is currently no indication of improvement inB2B and mail volumes while air freight forwarding margins are below expectations despite some seasonal acceleration of volumes.

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