Solid growth and further improved profitability in the first half of 2006

In a generally positive business environment, Panalpina, the global transport and logistics group, continued its excellent performance during the first six months of 2006. While net forwarding revenue went up 15.5%, Ebit increased by 68.6% and net earnings by 58.2%.

“We are pleased to present very convincing half-year results, which are the outcome of our unabated performance in all areas. This includes promising new business wins from various customers in the broad variety of industries that we serve”, commented Gerhard Fischer, Chairman of Panalpina.

Panalpina Group: Results for the first half year 2006


in million CHF	HY1 2006	HY1 2005	+ / -

Gross revenue	4 435.9	3 822.4	+ 16.1%
Net forwarding revenue	3 691.7	3 197.4	+ 15.5%
Contribution margin (gross profit)	758.3	670.9	+ 13.0%
Ebitda	120.7	81.2	+ 48.6 %
Ebit	96.6	57.3	+ 68.6%
Net earnings	69.3	43.8	+ 58.2%





Detailed Datasheet	138 Kb

Consistent worldwide growth
Consistent growth of both revenue and gross profit was achieved in all of Panalpina’s four reporting regions. Net forwarding revenue increased by 14.3% in Europe / Africa / Middle East / CIS, by 22.0% in Asia / Pacific, by 18.2% in North America and by 8.4% in Central and South America. With its especially pleasing performance, North America is well on track to break even as planned by the end of the year. Profitability also improved in all regions except in Apac due to continued investments in Panalpina’s companies and offices network in China.

Strong development of core activities
With net forwarding revenue up 11.8% in air freight, 19.8% in ocean freight and 17.0% in supply chain management, all three segments of Panalpina’s activity grew considerably. Transported volumes and tonnages continued to out-pace the market growth in air and ocean freight, with the Asia–Europe and Transpacific lanes again generating the strongest traffic volumes. Supported by margin developments, which stabilised in air freight and further recovered in ocean freight, gross profit grew nicely in both segments. The continued growth of the supply chain management segment gives further evidence of the customers’ confidence in Panalpina’s flexible approach in logistics services.

New business in all key industries
Panalpina performed very well in all of its strategic key industries and was able to gain substantial new business from the automotive, the healthcare, the retail and fashion, and the hi-tech sectors as well as from the ongoing buoyant oil and gas industry.

Outlook
As the Asian markets keep prospering and the European economy has improved since the beginning of the year, Panalpina is confident that business will remain healthy throughout the rest of 2006. The Group also expects some major business wins it was awarded during the first six months to positively impact in the second half of the year. The appointment of Monika Ribar as new CEO taking office on 1 October will further benefit a sound development of the Group in the future.

The Panalpina Group
The Panalpina Group is one of the world’s leading suppliers of forwarding and logistics services, specializing in intercontinental air freight and ocean freight shipments and associated supply chain management solutions. Thanks to its in-depth industry know-how and state-of-the-art IT systems, Panalpina provides globally integrated door-to-door forwarding solutions tailored to its customers’ individual needs. The Panalpina Group operates a close-knit network with some 500 branches in more than 80 countries. In a further 60 countries, it cooperates closely with selected partner companies. Panalpina employs some 14,000 people worldwide.