GEODIS saw double-digit growth in its e-commerce business in the US and Europe, using its earnings momentum to make a series of acquisitions, reports IHS Media
GEODIS saw double-digit growth in its e-commerce business in the US and Europe, using its earnings momentum to make a series of acquisitions, reports IHS Media. The subsidiary of the French rail operator SNCF Group reported a revenue of US$5.78 billion, up 21 per cent compared to the first of 2020 and 20 per cent from the first six months of pre-Covid crisis 2019.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) of $544 million was 60 per cent higher year over year and up 30 per cent from the first half of 2019.
Geodis declared e-commerce now accounts for almost 24 per cent of its total sales revenue.
In last-mile delivery, 23 per cent of daily deliveries in the Geodis network are destined for individuals rather than companies, compared to 15 per cent in 2019.
In the US, total e-commerce sales increased 39 per cent year over year in the first quarter of 2021 after rising 32.4 per cent in 2020.
'In a still uncertain economic environment, Geodis has confirmed its ability to generate profitable growth,' said Geodis chairman Marie-Christine Lombard.
Ms Lombard declared forwarder's solid financial performance allowed Geodis to strengthen its investment in digital transformation and to self-finance acquisitions.
Geodis acquired CondiServices, an e-commerce returns logistics specialist based in northern France. That comes after acquiring US cargo transportation provider Velocity Freight Transport, Inc.
Geodis also previously signed an agreement to acquire Gandon Transports, a temperature-controlled pharmaceutical trucking company in France aimed at increasing the group footprint in the healthcare market.
The acquisition of Pekaes, a leading distribution network in Poland strengthened Geodis' market position in the country and adding a leading less-than-truckload (LTL) and full-truckload (FTL) operator to its European logistics network.
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