Hellmann Content with 2016 Performance

2016 turned out to be a satisfying year for the Osnabrueck, Germany-based logistics company, documented by their annual figures. The Hellman Group generated a consolidated turnover of more than €3.0 billion, securing their place in the top league of global logistics players.

Left: Thomas Knecht - Spokesman for the Board of Management Right: Jost Hellmann - Managing Partner
Left: Thomas Knecht - Spokesman for the Board of Management Right: Jost Hellmann - Managing Partner

In fiscal 2106, Hellmann achieved a gross profit of €607.9 million, an increase of €75.6 million (14 percent) on 2015. In a release the company points out that their operating result also developed positively. After taking all depreciation into account, the operative EBIT excluding non-recurring expenses amounted to €46.5 million, resulting in an EBIT margin of 2.0 percent. Therefore, the Hellmann Group achieved a positive consolidated result in the two-digit million range in 2016.

Restructuring pays off
A main driver of the satisfying result was the 2015 launched realignment of the Hellmann Group. “These structuring measures ensure that we will remain and continue to be a strong contender in the future,” reads the release. The company’s restructuring led to the building of three business units, the foundation of a management holding company, and Hellmann’s conversion off the enterprise’s corporate status to the European SE. “By introducing these measures, the Hellmann Group is laying the foundation to accommodate, adapt to and embrace the changing requirements of a digitized, global logistics industry,” states the company.

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Air freight continues to go strong
Air freight contributed 23.7 percent to the total revenues, one percent up on 2015. In total, the cargo division accounted for €707 million of the logistics firm’s total revenues which is €4 million up to 2015. Particularly the region Oceania, Africa, Middle East reports a strong growth with revenues leaping 28% and tonnage increasing by even 35%. Volumes went also up in Asia, totaling 146,000 tons (plus 7,500 tons to 2015), but the turnover generated in the region dropped by €16 million in a y-o-y- comparison, reaching €214 million. Europe accounted for the largest rise, generating 226,000 tons, after 141,000 tons a year before.

Confident for 2017
Thomas Knecht, Spokesperson for the Board of Management commented: “The positive Group result in a double-digit million range has exceeded the forecasts and I am confident that we will further increase earnings this year."
Jost Hellmann, Managing Partner, added to this: "Last year, the Hellmann Group developed positively in all relevant areas. We have done our homework. We have taken the right path in reorganizing the Group and initiating the generational changeover – the Group result for 2016 makes this very clear."

Hellmann restructures organization
As made public today (31 July), the Hellmann Group will fundamentally revamp its structure as a reaction to its continuous international growth and changing market requirements. As of August 1, the family-owned enterprise will be made up of a parent holding company and three entities: Air & Sea, Road & Rail and Contract Logistics. All three units will operate as legally independent subgroups.
The new structure concentrates and unifies the global businesses conducted by the different product groups, thus ending the longstanding geographical organization of the logistics company. As a consequence, Hellmann points out that customers can now be offered globally uniform solutions throughout the entire supply chain, which the company expects will further optimize the service quality.
 
"We expect above all greater transparency and clear responsibilities within the individual business areas. In this way, the different strategies of the product areas can be developed more simply and more specifically, and in particular implemented,” states Thomas Knecht.
Jost Hellmann adds to this: "With the small and flexible units, we are much closer to the market and thus to our customers. For me, speed is the key competitive edge in our industry.“
 
Heiner Siegmund

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