Kuehne+Nagel 2023 net earnings down 48%

Kuehne+Nagel reported a 48 percent decline in net earnings at CHF 1.5 billion ($1.7 billion) for 2023 on 40 percent decline in net turnover to CHF 23.8 billion ($26.9 billion) "as business results normalised in 2023 following the special economic situation in the years 2021 and 2022."

Stefan Paul, CEO, Kuehne+Nagel says: "Kuehne+Nagel closed the financial year 2023 with an overall good performance in a persistently challenging environment. We adjusted our cost base to market conditions by intensifying restructuring measures in the fourth quarter. At the same time, we succeeded in gaining market share in sea logistics, especially in the SME segment. We signed two important acquisitions with Morgan Cargo from South Africa and Farrow from Canada. We are making solid progress toward our Roadmap 2026 goals."

Sea logistics
Net turnover in sea logistics dropped 54 percent to CHF 8.6 billion ($9.7 billion) and EBIT declined 50 percent to CHF 1 billion ($1.13 billion).

"The container volume totaled 4.3 million TEU at the end of December 2023. In an overall declining market, the business unit recorded volume growth in the second half of the year, particularly in the SME segment. Market share gains expanded on the Asia-Europe and transpacific routes, amongst others."

Air logistics
Net turnover in air logistics declined 41 percent to CHF 6.9 billion ($7.8 billion) and EBIT dropped 61 percent to CHF 555 million ($627 million).

"Nearly two million tonnes of air freight were handled by Kuehne+Nagel between January and December 2023. The e-commerce and perishables segments performed particularly well. In November 2023, Kuehne+Nagel completed the acquisition of the South African company Morgan Cargo."

Joerg Wolle, Chairman, Kuehne+Nagel adds: "Kuehne+Nagel performed well in the challenging year 2023. We continued to expand our global market lead. This is also based on a high and growing market relevance in the increasingly important world regions such as Asia and the North Pacific trade lanes.

"The company aims to be leading in terms of customer experience and in cost efficiency. The strategy developed and successfully implemented several years ago is bearing fruit. We are continually refining this strategy and adapting it to changes in the market. This creates a decisive competitive edge – even during more difficult phases of the market cycle. By proposing a dividend of CHF10 per share for the financial year 2023, we would like our shareholders to participate in the company's success."