DUTCH logistics giant posted an 18.6 per cent year-on-year increase in first quarter pre-tax profit to US$51 million, drawn on $1.78 billion in revenue which increased 4.6 per cent.
CEVA's strong performance in the first quarter against significant exchange rate fluctuations reflects the execution of the company's change programme implemented in 2014.
Freight management revenue was up 6.1 per cent. Volume trends showed sustained growth in the quarter, with air freight volume growing 5.2 per cent and ocean freight up five per cent year on year.
Quarterly freight management realised strong EBITDA improvement, reflecting continued market share gains and focus on enhancing efficiency and profitability, said the company statement accompanying the results.
Contract logistics realised above market EBITDA margin of 4.9 per cent in the quarter, with revenue up 3.4 per cent in constant currency.
"The decision to move to a Business Line/Cluster operating model has energised the company," said CEVA chief executive Xavier Urbain. "We are seeing the visible impact of the operational improvements, ongoing streamlining of processes and greater responsiveness to our customers' needs enabled by the new operating model."
Productivity improvements remain a key focus of the company, said the statement. A Competence Centre for Ground Transport has been launched to drive volume growth, increase productivity and reduce cost/mile. Processes in freight management have been streamlined and show improved productivity per employee.
Business development has also been strengthened, notably through a global Route Development Management Programme to drive field sales and the newly independent healthcare sector continued to generate strong quarterly growth.
During the quarter, the freight management business pipeline grew materially, ending the quarter 55 per cent above the prior year while the contract logistics pipeline advanced 15 per cent year on year, said the company statement.
LOGISTICS
07 May 2015 - 19:30
CEVA quarterly profit up 18.6pc to US$51 million, revenues rise 4.6pc
DUTCH logistics giant posted an 18.6 per cent year-on-year increase in first quarter pre-tax profit to US$51 million, drawn on $1.78 billion in revenue which increased 4.6 per cent.
LOGISTICS
07 May 2015 - 19:30
CEVA quarterly profit up 18.6pc to US$51 million, revenues rise 4.6pc
This news 4522 hits received.
These news may also interest you