Yusen Logistics reports strong growth in H1 profits 31 October 2014

Initiatives to expand logistics in South Asia and Oceania saw growth in sales

Yusen Logistics has reported an increase in net income of 146.8%, to Yen695.0 million, in the first half of its fiscal 2014, ending 31 September 2014. Yusen Logistics saw net sales increase 7.1% year-on-year to Yen213.5 billion. Operating profit reached Yen3.6 billion, climbing 136.0% from the H1 period in 2013.

The Company revised upwards its previous revenue and profit forecasts for fiscal 2014, which were announced on July 31, to Yen431.5 billion in operating revenue and Yen7.6 billion in operating income. In the first half of Fiscal Year 2014, the Company stated that the procurement environment in the ocean freight forwarding business was stable due to its continuous efforts to increase handling volumes, although the Company could not reach targets. In the air freight forwarding business, handling volumes increased especially with shipments from Japan. In the logistics business, initiatives to expand especially in the South Asia & Oceania region contributed to growth in sales.

Geographically, the Company noted that in Japan, consumer spending and industrial production fell following increases in sales taxes. It said that the US economy continued to recover amid improvements in the employment and income environments, resulting in strong US bound-exports from Japan, though it warned that although the worst might be over for the European economy, the continent still hasn’t fully recovered, and suggested that economic growth in China and other Asia countries is showing signs of slowing.