DSV aims to complete DB Schenker integration by 2026, leveraging AI to enhance operations, as reported by the New York's Journal of Commerce.
Denmark's DSV expects to complete its integration of DB Schenker by the end of 2026, far earlier than planned, while using artificial intelligence to transform operations, reported the New York's Journal of Commerce.
The process, initially expected to take two years, will be finished 20 months after the acquisition closed. CFO Michael Ebbe stated that the onboarding of major markets, including China, Germany, Sweden, and Singapore, is underway, with full integration targeted before year-end.
Schenker's contribution has significantly lifted DSV's 2025 results. Revenue rose by 51.3 percent to US$39 billion, gross profit climbed by 59 percent to $10 billion, and EBIT increased by 23.8 percent to $3.1 billion. Air freight volume grew by 42 percent to two million tonnes, while ocean freight rose by 38 percent to 3.7 million TEU.
In the fourth quarter, volumes surged, but profits per unit fell due to Schenker dilution. Air freight rose by 63 percent to 592,000 tonnes, with gross profit per tonne down by eight percent. Ocean freight climbed by 52 percent to just over one million TEU, but gross profit per TEU fell by 17 percent.
Synergies are expected to reach $800 million this year and $1.5 billion in 2027, with transaction and integration costs nearing $1.7 billion. CEO Jens Lund mentioned that AI is being deployed at the enterprise level to consolidate IT systems and boost productivity.
DSV has rolled out a customs AI tool and developed an in-house 'AI Factory' to optimize routes and processes, which Mr. Lund stated is central to transforming the business.
