GLOBAL logistics group DHL has described 2024 as a “volatile period” in releasing its 2024 financial year report which overall showed increased revenue for the year of 3.0% to €84.2 billion.
CEO Tobias Meyer said in the report that global economic parameters are visibly shifting.
“Trade conflicts, wars and geopolitical tensions mean that, although world trade is still growing roughly in step with the economy, it is no longer outpacing global GDP,” Mr Meyer said.
“Combined with the sometimes sceptical view of European stocks on the part of many investors, this meant that our share price performance was disappointing in the past year.
“At the same time, however, the changed environment is making supply chains more complex. Many companies want to better diversify their risks and spread warehouses and production more widely around the world.
“While trade between China and the United States has declined, there is still major growth potential – often in precisely those areas where DHL Group has a high market share.”
DHL will focus on fast-growing sectors and geographies, stepping up its logistics for pharmaceuticals, medical devices, renewable energy and electrification.
It also has a goal of cutting greenhouse gas emissions from logistics to net zero by 2050.
The annual report said freight markets continued to normalize in 2024 with DHL reaching around 1.8 million metric tons of export air freight transported compared to around 1.7 million metric tons the previous year.
Volumes also increased in ocean freight, rising by 7.3% to around 3.3 million (previous year: around 3.1 million) 20-foot container units (TEUs) transported.
The group achieved its guidance figure for group EBIT, which had been adjusted to more than €5.8 billion. At €5.9 billion, operating profit was below the prior-year figure, but significantly exceeded the pre-pandemic level of 2019.
The best performing division was Supply Chain which generated a record EBIT of more than €1bn.
