HHLA Strengthens Market Position (Germany)

HHLA Strengthens Market Position

Hamburger Hafen und Logistik AG (HHLA) again expanded its position in a difficult market environment in the 2013 financial year.

We saw considerable increases in throughput and transportation in 2013. Our market share gains underline that we were well prepared for the challenges of a difficult market environment. HHLA also continues to have a high level of earnings. This increases our entrepreneurial scope,” stated the Chairman of HHLA’s Executive Board, Klaus-Dieter Peters, when presenting the annual financial results for 2013. “In view of the delay in dredging the river Elbe, the rising number of ever-larger vessels is leading to extraordinary challenges. To improve our efficiency in the handling of large vessels, we have proactively created capacity and productivity reserves, particularly at our Container Terminal Burchardkai, from which we will benefit as utilisation continues to increase. Our realigned Intermodal segment once again performed particularly well, with a volume increase of 18.0 percent. We will keep pursuing our successful intermodal strategy in 2014. We have an excellent liquidity position and a sound balance sheet structure. Against this background, we propose to pay a dividend of € 0.45 for the listed Class A shares, i.e. a payout ratio of 65 percent of the distributable net profit.

Revenue and Earnings Development

In the 2013 financial year, HHLA’s revenue rose by 2.4 percent to € 1,155.2 million, largely matching volume trends following adjustment for non-recurring effects (including the realignment of the Intermodal segment). The operating result (EBIT) developed as forecast coming in at € 158.0 million. As a result of non-recurring effects, this figure is only to a limited extent comparable with the previous year’s amount. The 2012 operating result includes a one-off gain of € 17.6 million, largely attributable to the sale of HHLA’s stake in TFG-Transfracht.

Other key factors for EBIT development in the 2013 financial year were:

– Additional and follow-up costs resulting from the flooding of the rivers Elbe and Danube along some of the rail companies’ key routes,

– The restructuring of the Polzug Group,

– Increased expenditure due to the delay in dredging the river Elbe,

– Unrealised productivity potential at the Container Terminal Burchardkai due to current capacity utilisation levels.

Hamburger Hafen und Logistik AG (HHLA) forms a complete network between the overseas port and the European hinterland with its efficient container terminals, effective transport systems, comprehensive logistics services and logistics properties.

This results in logistics chains which protect the climate and are a prerequisite for the development of the global economy.

[mappress]

Press Release, March 27, 2014; Image: HHLA

 

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