29th April 2024 - Analytiqa's complimentary weekly bulletin to assist you to stay ahead of all the latest news and developments across the global supply chain
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Welcome to the latest edition of Analytiqa's weekly Logistics Bulletin reviewing the calendar period of 22 April 2024 - 26 April 2024.
This week’s Logistics Bulletin reports on the Q1 financial performances at some of the world’s leading logistics companies. Kuehne + Nagel saw the start of 2024 characterised by a slightly improving demand trend for transportation services in Sea and Air Logistics, though net turnover fell 18.0% and gross profits declined 13.0% in Q1. A focus on efficiency and streamlined structures allowed the Company to reduce costs per unit by 12.0% in Sea Logistics and 14.0% in Air Logistics, though gross profit declined 27.0% in sea logistics and 20.0% in air logistics, with net turnovers down 28.0% and 15.0% respectively. The net turnover of Road Logistics fell 10.0%, as EBIT fell 42.0%. In Contract Logistics net turnover declined 10.0%, with EBIT down 11.0%.
Elsewhere, DSV delivered results in line with expectations, as gross profit for the quarter was down 8.6% and EBIT declined 20.8%, mainly due to a normalisation of freight rates and yields in the Air & Sea division. Gross profit in the Air & Sea division fell 16.2%, declined 0.7% in Road and climbed 5.8% in Solutions. In constant currencies, revenue declined 5.0% compared to same period last year.
DSV’s Air & Sea division gained market share across most markets. DSV’s air volumes increased 2.3% in Q1, 2024 compared to the same period last year, mainly owing to strong development in export volumes from APAC. DSV’s sea freight volumes grew by 8.2%. The strongest growth rates were recorded on export volumes out of APAC. For the quarter, the increase in revenue in the Road division was driven by additional volumes in the groupage network. A strong revenue performance for the Solutions’ division was due to higher activity measured by number of order lines handled compared to last year. Geographically, the best performing regions for Q1, 2024 were EMEA and Americas.
Corporate & Market News | Service Developments | Outsourcing News | Warehouse & Distribution Centre News | Technology | Fleet & Environmental | Personnel & HR Developments
25-04-2024
STEF generated turnover of €1,139.3 million in Q1, 2024, a 5.7% increase (+0.7% like-for-like). International business is driving growth, accounting for more than 40.0% of Group sales for the first time (excluding sales of goods in Foodservice). In France, sluggish food consumption continues to impact the business, whilst the latest acquisitions, notably in Northern Europe, contributed €55.0 million to quarterly sales.
STEF France reported sales of €576.7 million, up 0.3% (and 0.5% like-for-like). In France, the volumes handled by the chilled products and seafood businesses continue to be affected by the slowdown in food consumption. The frozen food business has also been affected, with a fall in volume and a drop in the fill rate of its warehouses. Retail business is benefiting from the positive impact of new contracts, and is posting sales growth. Driven by a buoyant market, the Foodservice business is continuing to grow, thanks to sustained sales momentum.
STEF International reported sales of €418.8 million, up 18.1% (and 2.6% like-for-like). In Italy, the Group is enjoying positive growth momentum across all its businesses, particularly in frozen foods. Portugal continues to grow organically thanks to the ongoing development of one of its new clients. Belgium continues to benefit from the integration of TransWest, acquired in October 2023, and from the commissioning of its new logistics hub in Tubize, south of Brussels. In the Netherlands, in a competitive market, efforts are focused on integrating Bakker Logistiek, acquired on 04 January. Despite a difficult economic climate and a fall in consumer spending, business in the UK and Switzerland is growing thanks to positive currency effects.
25-04-2024
On 29 February 2024, GXO announced its firm intention to make a cash offer to acquire the entire issued and to be issued share capital of Wincanton for an offer price of 605 pence in cash per Wincanton Share and on 01 March 2024, the board of Wincanton announced the Wincanton Directors' intention to recommend the GXO Offer.
On 06 March 2024, the boards of directors of Wincanton and GXO announced that GXO had elected, with the consent of Wincanton and the Panel, to implement the Acquisition by way of a Court-sanctioned scheme of arrangement. The scheme document in respect of the Acquisition was published and made available to Wincanton Shareholders on 14 March 2024.
On 10 April 2024, Wincanton announced that the Scheme had been approved by the requisite majority of Scheme Shareholders at the Scheme Meeting held on 10 April 2024 and the Special Resolution relating to the implementation of the Scheme had been approved by the requisite majority of Wincanton Shareholders at the General Meeting also held on 10 April 2024.
The Acquisition triggered a mandatory notification to the UK Government under the UK National Security and Investment Act 2021 (NSI Act). On 24 April 2024, GXO announced that it had received clearance under the NSI Act.
Wincanton has now announced that the High Court of Justice in England and Wales has sanctioned the Scheme pursuant to which the Acquisition is being implemented. The Scheme remains conditional on the delivery to the Registrar of Companies of the Court Order made at the Court Sanction Hearing. The Scheme is expected to become effective on 29 April 2024 and a further announcement will be made at that time.
25-04-2024
GXO Logistics, Inc. announced that, subject to market and other conditions, it intends to offer one or more series of its senior notes in a registered public offering. GXO intends to use the net proceeds from the sale of the notes, together with borrowings under its previously announced term loan credit agreement entered into on 29 March 2024, to fund its pending acquisition of Wincanton, to fund the redemption, repayment, prepayment or satisfaction and discharge or other payment in satisfaction of indebtedness of the Company and its subsidiaries, to pay fees and expenses in respect of the foregoing, and for general corporate purposes.
The offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. The closing of the offering is not conditioned upon the consummation of the Wincanton acquisition.
The Company announced the pricing of US$600.0 million of notes due 2029 and US$500.0 million of notes due 2034 in a registered public offering. Each offering of notes is expected to close on 06 May 2024, subject to the satisfaction of customary closing conditions.
The 2029 notes will bear interest at a rate of 6.250% per annum payable semiannually in cash in arrears on 06 May and 06 November of each year, beginning 06 November 2024 and will mature on 06 May 2029. The 2034 notes will bear interest at a rate of 6.500% per annum payable semiannually in cash in arrears on 06 May and 06 November of each year, beginning 06 November 2024 and will mature on 06 May 2034.
24-04-2024
The DSV Group delivered a strong set of results for Q1 2024. The financial performance was in line with expectations and reflects seasonality and the continued market normalisation. Gross profit for the quarter was down 8.6% and EBIT declined 20.8%. In a volatile and competitive market environment, the Company saw positive momentum on sustainable growth, taking market share across most of the markets that it operates in. For Q1 2024, revenue amounted to DKK38,340 million, compared to DKK40,954 million last year. In constant currencies, revenue declined 5.0% compared to same period last year.
In the Air & Sea division, revenue declined by 11.5% in Q1, 2024. Revenue was impacted by higher volumes in both air and sea, but this was offset by lower average freight rates. Although spot rates are higher than last year, the average contract rate for the current period is lower compared to same period last year.
Road and Solutions both had a good start to Q1, 2024 with organic growth in both divisions. In Road, the increase was driven by slightly higher volumes, which were partly offset by lower rates and less working days compared to same period last year. Solutions added capacity across most regions, which increased the overall activity.
For Q1 2024, gross profit amounted to DKK10,265 million, compared to DKK11,391 million last year. In line with expectations, gross profit in constant currencies declined 8.6% compared to same period last year, mainly due to a normalisation of freight rates and yields in the Air & Sea division. Gross profit in the Air & Sea division fell 16.2%, declined 0.7% in Road and climbed 5.8% in Solutions.
As expected, the gross profit yields were largely stable compared to Q4, 2023 levels. In line with expectations, the Air & Sea division saw a decline in gross profit compared to last year. This was caused by lower gross profit yields, partly offset by volume growth for both air and sea.
The Road division achieved gross profit in line with last year despite declining market activity. The division saw positive development and delivered market share gains, particularly on international activities. Solutions also developed positively and saw gross profit growth of 5.8% for the quarter due to higher activity levels.
Gross profit declined mainly in APAC and Americas driven by lower freight yields. EMEA region was stable mainly driven by double-digit growth in Middle East compared to same period last year. The gross margin for the Group was 26.8% for Q1 2024, compared to 27.8% for the same period last year. The decline was mainly due to Air & Sea and reflects a normalisation of both freight rates and yields.
EBIT before special items amounted to DKK3,641 million for Q1, 2024, compared to DKK4,672 million last year. In constant currencies, EBIT before special items was down 20.8%. The reduced EBIT was mainly due to lower gross profit in Air & Sea. EBIT in Air & Sea fell 26.0%, in Road it dropped 1.8% and in Solutions the decline was 8.8%. Profit for Q1 2024 was DKK2,393 million, compared to DKK3,287 million for the same period of 2023. The decline was mainly due to the lower EBIT for the period.
The Air & Sea division gained market share across most markets, while keeping gross profit yields and the cost base stable compared to Q4, 2023. DSV’s air volumes increased 2.3% in Q1 2024 compared to the same period last year, mainly owing to strong development in export volumes from APAC. In Q1, 2024, DSV’s sea freight volumes grew by 8.2% compared to the same period last year. The strongest growth rates were recorded on export volumes out of APAC.
For the quarter, the increase in revenue in the Road division was driven by additional volumes in the groupage network, which were partly offset by lower market rates and fewer working days compared to the same period last year. The division generates more than 85.0% of its revenue in Europe and saw good performance across most countries in the region.
The Solutions’ division’s revenue was DKK5,989 million for Q1, 2024, compared to DKK5,625 million for the same period of 2023. In constant currencies, revenue increased 7.3%. The strong revenue performance for the quarter was due to higher activity measured by number of order lines handled compared to last year. Geographically, the best performing regions for Q1, 2024 were EMEA and Americas.
24-04-2024
GXO Logistics has announced selected preliminary financial results for the quarter ended 31 March 2024. The Company also reiterated its outlook for the full year 2024 on a standalone basis, updated the full-year 2024 guidance to include the expected impact of the Wincanton acquisition and revised its 2027 financial targets in advance of its first quarter 2024 earnings announcement.
Solid preliminary first quarter results reflect the improving trend noted earlier this year, and GXO anticipate continued sequential organic growth throughout 2024. The pace of new business wins is accelerating, with a 55.0% increase year over year in first quarter wins. GXO continues to see a strong outsourcing trend, with more than half of its wins in the quarter coming from customers outsourcing to GXO or partnering with GXO for the first time, and its pipeline has increased to US$2.2 billion as of the end of the quarter. Customers are continuing to turn to GXO to improve service, drive efficiencies, and lower costs throughout their supply chains.
GXO has also updated the long-term guidance provided in January 2023. The revised targets reflect performance in 2023 and guidance for 2024, which assumes the gradual recovery of consumer demand for physical goods. Additionally, following the recent approval by Wincanton shareholders of the planned acquisition, the expected impact of this transaction is also embedded in a new 2027 plan.
GXO is enhancing its position to capture more of the growing outsourcing opportunity. It is investing in its sales organisation and strategically increasing the number of higher-margin, longer-duration automation contracts across its global footprint. It is also diversifying the business across geographies, including Germany, and verticals, particularly in beauty and luxury markets worldwide, as well as industrials and aerospace in Europe. These actions, coupled with the normalising of consumer goods spending, underpin confidence in the long-term growth framework to drive significant shareholder value over the long term.
Based on information available as of 24 April 2024, the company currently expects to report for the first quarter ended March 31, 2024:
> Revenue of approximately US$2.5 billion;
> Net loss of approximately US$36.0 million, primarily driven by a US$63.0 million expense associated with legacy litigation;
> Adjusted earnings before interest, taxes, depreciation and amortisation of approximately US$154.0 million;
> Cash and cash equivalents of approximately US$423.0 million;
> Long-term debt, including current debt of US$26.0 million, of approximately US$1,637.0 million; and
New business wins in the quarter of approximately US$250.0 million, including new business with Boeing, Guess, Michelin and WH Smith.
The Company reiterated its outlook for the full year 2024 on a standalone basis and updated its guidance to include the expected impact of the Wincanton acquisition, which remains subject to the satisfaction of customary conditions.
Standalone basis (unchanged):
> Organic revenue growth of 2.0% to 5.0%;
> Adjusted EBITDA of US$760.0 million to US$790.0 million;
> Free cash flow conversion of 30.0% to 40.0% of adjusted EBITDA.
Including expected impact of Wincanton acquisition, subject to the satisfaction of customary conditions:
> Organic revenue growth of 2.0% to 5.0%;
> Adjusted EBITDA of US$805.0 million to US$835.0 million;
> Free cash flow conversion of 30.0% to 40.0% of adjusted EBITDA.
The Company updated its 2027 financial targets, first outlined in January 2023, including expected impact of Wincanton acquisition, as follows:
> Organic revenue CAGR (2024-2027) of approximately 10.0%, to approximately US$15.5 billion to US$16.0 billion of revenue;
> Approximately 15.0% adjusted EBITDA CAGR (2024-2027), to approximately US$1.25 billion to US$1.30 billion of adjusted EBITDA;
> Free cash flow conversion of greater than 30.0% of adjusted EBITDA (2024-2027); and
> Operating return on invested capital of more than 30.0%.
The Company's Q1 results will be released after market close on 07 May 2024.
24-04-2024
Knight-Swift Transportation Holdings Inc., operating the largest full truckload fleet in North America, reported a Q1, 2024 net loss attributable to Knight-Swift of US$2.6 million. The current quarter results include an operating loss of US$19.5 million for the Company’s third-party insurance business, which ceased operations at the end of the quarter. During Q1, 2024, consolidated total revenue was US$1.8 billion, which is an 11.3% increase from the first quarter of 2023 largely due to the acquisition of U.S. Xpress Enterprises, Inc. effective 01 July 2023. Consolidated operating income was US$20.6 million, reflecting a decrease of 85.8%, as compared to the same quarter last year.
The Company noted that the full truckload market remains extremely challenging as carriers navigate the oversupply of capacity, reduced load volumes, and continued rate pressure through the early part of the bid season. This has negatively impacted the results of the Company’s Truckload, Logistics, and Intermodal segments. The LTL market continues to be healthy, and it remains encouraged with the growth of its LTL segment and plans to open 25 new facilities over the remainder of the year in addition to the seven locations opened during the quarter. The Company expect this expansion will open new service territories and allow it to grow relationships with current customers and open opportunities with new customers.
> Truckload - 97.3% Adjusted Operating Ratio, with a 26.3% year-over-year increase in revenue, excluding fuel surcharge and intersegment transactions, as a result of the inclusion of the truckload business of U.S. Xpress. Operating income fell 80.0%. Adjusted Operating Ratio worsened by 1,070 basis points year-over-year primarily due to the 10.2% decline in revenue per loaded mile, excluding fuel surcharge and intersegment transactions, and the 2.7% increase in cost per mile largely as a result of weather disruptions in the current quarter.
> LTL - 90.0% Adjusted Operating Ratio, with a 12.6% year-over-year increase in revenues, excluding fuel surcharge. Operating income fell 23.7%. While shipments per day increased 6.1% and revenue per hundredweight excluding fuel surcharge increased 13.3% year-over-year, the impact of the weather disruptions on volumes and operating costs, and incremental maintenance and labour costs as the division expands, contributed to Adjusted Operating Income declining by 20.6%.
> Logistics - 97.1% Adjusted Operating Ratio with a gross margin of 16.8% while revenue, excluding intersegment transactions, declined 7.3%, including the U.S. Xpress logistics business. Operating income fell 80.7%. Load count declined from the weather disruptions as well as a decision to divert loads to the Truckload segment to offset the loss of contractual volumes in recent bids. The Adjusted Operating Ratio and gross margin % of the U.S. Xpress logistics business performed in line with the legacy logistics business in the quarter.
> Intermodal — 105.6% operating ratio, as load count declined 1.6% and revenue per load declined 19.1% year over-year, partly due to less project revenue in the current period. Revenue, excluding intersegment transactions fell 20.4% as the division reported an operating loss of US$4.9 million.
> All Other Segments — Operating loss increased to US$20.4 million in the current quarter including the US$19.5 million operating loss of the third-party insurance business. The third-party insurance business ceased all operations at the end of the first quarter. In addition, the operating loss includes US$8.2 million of severance, legal accrual, and impairment charges.
Gain on sale of revenue equipment was US$6.7 million in Q1, 2024, compared to US$20.9 million in Q1, 2023. The average age of the tractor fleet within the Truckload segment was 2.6 years in Q1, 2024, compared to 2.7 years in Q1, 2023. The average age of the tractor fleet within the LTL segment was 4.3 years in Q1, 2024 compared to 4.2 years in Q1, 2023. Cash capital expenditures, net of disposal proceeds, were US$141.3 million for the quarter ended 31 March 2024. The Company expect net cash capital expenditures will be in the range of US$625.0 million – US$675.0 million for full-year 2024. The expected net cash capital expenditures primarily represent replacements of existing tractors and trailers and investments in the terminal network, driver amenities, and technology, and excludes acquisitions.
Looking ahead, although the consolidated Q1 results are not where the Company would like them to be, it is confident that it has the resources and are capable of the disciplined approach necessary to navigate the current market. More importantly, it has the people, protocols, and technology designed to help it quickly and effectively pivot when the truckload market inevitably inflects. In the meantime, it is focused on efficiency and cost control to improve margins in the Truckload business with the expectation of being an industry leader in profitability regardless of market conditions, and this expectation applies to the U.S. Xpress business just as much as legacy brands. The Company is continuing its strategy of building a nationwide LTL network through both organic and inorganic growth paths. The logistics segment will continue to complement the truckload brands, leverage its power-only capabilities, preserve profitability, and afford outsized growth opportunity when the truckload market strengthens. The Company is building a strong foundation of diverse customers in the intermodal business with strategic rail partners, which aims to position it for sustained profitability in the future.
As announced last week, the Company expect that Adjusted EPS will range from US$0.26 to US$0.30 for Q2, 2024. It also projects that Adjusted EPS for Q3, 2024 will range from US$0.31 to US$0.35. Because the timing of an inflection in market conditions has proven especially difficult to predict during this cycle, it is not reflecting an inflection in market conditions for the purposes of these forecasts but rather are basing these ranges on expected seasonality and a continuation of existing market conditions. The expected Adjusted EPS ranges are based on the current truckload, LTL, and general market conditions, recent trends, and the current beliefs, assumptions, and expectations of management, as follows:
> Truckload Segment revenue up slightly sequentially in Q2 and again into Q3 with slight sequential improvements in operating margins resulting in mid-90’s operating ratios, including U.S. Xpress breakeven operating results through Q2 and high-90’s Adjusted Operating Ratio in Q3,
> Truckload tractor count down modestly sequentially into Q2 before stabilising for Q3,
> Truckload miles per tractor increasing high-single digit percent year-over-year in Q2 and low single digit percent year-over-year in Q3 as the prior year comparisons begin to include U.S. Xpress,
> LTL revenue growth of 12-15.0% year-over-year as shipment count in the second and third quarters improves mid-to-high single digit percent year-over-year and revenue per hundredweight, excluding fuel surcharge, improves low-to-mid-teens percent year-over-year with an operating ratio in line with 2023 results,
> Logistics volume up low single digit percent year-over-year in Q2 and down mid-teens percent year-over-year in Q3 as the prior year comparisons begin to include U.S. Xpress, with operating ratios in the mid-90’s,
> Intermodal volumes flat year-over-year in Q2 before improving high-single digit percent year over-year in Q3, and operating ratios near breakeven.
24-04-2024
Old Dominion Freight Line, Inc. announced financial results for the three-month period ended 31 March 2024. Total revenue increased 1.2% to US$1,460 .1 million, as operating income grew by 0.9% to US$386.4 million. Net income increased by 2.5% to US$292.3 million.
The financial results improved during the first quarter despite continued softness in the domestic economy. For the second straight quarter, both revenue and earnings per diluted share increased on a year-over-year basis.
ODFL achieved these results by continuing to execute its long-term strategic plan, which is centred on the ability to provide customers with superior service at a fair price. The combination of 99% on-time service and 0.1% claims ratio creates a value proposition which continues to support yield management initiatives as well as an ongoing ability to win market share.
Revenue for Q1 included a 4.1% increase in LTL revenue per hundredweight that was partially offset by a 3.2% decrease in LTL tons per day. The decrease in LTL tons per day reflects a 2.7% decrease in LTL weight per shipment and a 0.5% decrease in LTL shipments per day. Excluding fuel surcharges, LTL revenue per hundredweight increased 6.7% as compared to Q1, 2023. This yield improvement reflects a continued focus on revenue quality and a consistent, long-term approach to pricing, which is designed to offset cost inflation while also supporting further investments in capacity and technology.
The Q1 operating ratio increased 10 basis points to 73.5% as compared to Q1, 2023. ODFL improved direct operating costs as a percent of revenue as a result of the increase in yield and an ongoing focus on operating efficiencies. Overhead costs, however, increased as a percent of revenue in part due to a 50-basis point increase in depreciation costs. The increase in depreciation reflects a commitment to consistently execute on a long-term capital expenditure strategy to support customers’ needs and to achieve long-term market share initiatives.
Old Dominion’s net cash provided by operating activities was US$423.9 million for Q1, 2024. The Company had US$581.0 million in cash and cash equivalents at 31 March 2024.
Capital expenditures were US$119.5 million for Q1, 2024. The Company expects its aggregate capital expenditures for 2024 to total approximately US$750.0 million, including planned expenditures of US$350.0 million for real estate and service centre expansion projects; US$325.0 million for tractors and trailers; and US$75.0 million for information technology and other assets.
Old Dominion continued to return capital to shareholders during Q1, 2024 through its share repurchase and dividend programmes. For the quarter, the cash utilised for shareholder return programmes included US$85.3 million of share repurchases and US$56.6 million of cash dividends.
Looking ahead, while challenges from the domestic economy have persisted for longer than originally expected, there have been some recent developments to suggest that overall demand for the Company’s service may be improving.
23-04-2024
UPS announced first-quarter 2024 consolidated revenues of US$21.7 billion, a 5.3% decrease from Q1, 2023. Consolidated operating profit was US$1.6 billion, down 36.5% compared to Q1, 2023, and down 31.5% on an adjusted basis.
The financial performance in the first quarter was in line with expectations, and average daily volume in the US showed improvement through the quarter.
For Q1, 2024, GAAP results include a total charge of US$110.0 million comprised of after-tax transformation and other charges of US$75.0 million and a non-cash, after-tax impairment charge of US$35.0 million, driven by plans to consolidate certain acquired brands within the Company’s healthcare portfolio.
At the US Domestic Segment, revenue decreased 5.0%, driven by a 3.2% decrease in average daily volume. The operating margin was 5.8%; adjusted operating margin was 5.9%.
In the International Segment, revenue decreased 6.3%, driven by a 5.8% decrease in average daily volume. The operating margin was 15.4%; adjusted operating margin was 16.0%.
At Supply Chain Solutions, revenue decreased 5.3% primarily due to market rate declines in forwarding. The operating margin was 4.1%; adjusted operating margin was 7.0%.
Looking ahead, for 2024, UPS reaffirmed its full-year, consolidated financial targets:
> Consolidated revenue to range from approximately US$92.0 billion to US$94.5 billion
> Consolidated adjusted operating margin to range from approximately 10.0% to 10.6%
> Capital expenditures of approximately US$4.5 billion
23-04-2024
The start of the business year 2024 was characterised by a slightly improving demand trend for transportation services in Sea and Air Logistics. Kuehne + Nagel Group’s net turnover in Q1, 2024 amounted to CHF5.5 billion, down 18.0%, with an EBIT of CHF376.0 million, down 39.0% and earnings before minorities of CHF278.0 million, down 40.0%. The results were lower overall and impacted by negative exchange rate effects of 3.0% relative to the prior year. Gross profits declined 13.0%.
The conversion rate, which describes the ratio of EBIT to gross profit for the group, stood at 18.0% in Q1, 2024, significantly higher than the pre-Covid value of 12.0% in Q1, 2019. Overall, the figures are above the corresponding pre-pandemic levels.
In a challenging environment, Kuehne + Nagel started the business year 2024 with solid but lower year-over-year results. A focus on efficiency and streamlined structures allowed the Company to reduce costs per unit by 12.0% in Sea Logistics and 14.0% in Air Logistics. By discontinuing the regional structure, the Company has laid the foundations for further growth and enabled more direct access to customers worldwide. Additionally, it strengthened its offering for Southeast Asia customers through the acquisition of City Zone Express, a Penang, Malaysia-based Road Logistics service provider.
The net turnover of Sea Logistics in Q1, 2024 amounted to CHF1.9 billion, down 28.0%, with an EBIT of CHF197.0 million, down 43.0%. Gross profit declined 27.0%. The conversion rate was 39.0%. The sea freight volume reached 1.0 million TEU by the end of March 2024. During the first three months of the year, the business segment delivered a volume growth of 1.5% year-on-year.
The net turnover of Air Logistics in Q1, 2024 amounted to CHF1.6 billion, down 15.0%, with an EBIT of CHF94.0 million, down 39.0%. Gross profit declined 20.0%. The conversion rate was 24.0%. The air freight volume reached 491,000 tons by the end of March 2024, which was 3.4% higher than in the previous year.
The net turnover of Road Logistics in Q1, 2024 amounted to CHF860.0 million, down 10.0%, with an EBIT of CHF30.0 million, down 42.0%. Gross profit declined 7.0%. During this period, approximately 5.6 million orders were processed.
The net turnover of Contract Logistics in Q1, 2024 amounted to CHF1.1 billion, down 10.0%, with an EBIT of CHF55.0 million, down 11.0%. Gross profit declined 2.0%. The conversion rate stood at 6.0%.
23-04-2024
Ryder System, Inc. has reported solid results for the three months ended 31 March, amid a challenging freight environment by continuing to execute on a balanced growth strategy. Total revenue of US$3.1 billion compared to US$3.0 billion in prior year. Operating revenue reached US$2.5 billion, up 6.0%, reflecting recent acquisitions and contractual revenue growth, partially offset by lower commercial rental revenue in Fleet Management Solutions (FMS).
The outperformance in the quarter was driven by better-than-expected used vehicle results and benefits from ongoing maintenance cost savings initiative. The actions to de-risk the model, enhance returns, and drive profitable growth are delivering improved results relative to prior cycles.
A strong balance sheet continues to provide capacity to fund organic growth, share repurchases, and strategic acquisitions. Throughout the current freight cycle downturn, the transformed business model has consistently outperformed prior cycles. Ryder remains confident that the changes it has made to the business will continue to generate higher highs and higher lows while positioning it to benefit from the cycle upturn.
Fleet Management Solutions earnings reflect weaker market conditions in used vehicle sales and rental, partially offset by ChoiceLease results. FMS total revenue and operating revenue decreased 3.0% and 1.0%, respectively. FMS EBT reflected lower used vehicle pricing compared to elevated levels in the prior year as well as weaker rental demand, partially offset by higher ChoiceLease results and maintenance cost savings initiatives.
At Supply Chain Solutions, earnings reflect better operating performance and the fact that the prior year was impacted by an impairment charge. SCS total revenue and operating revenue increased 8.0% and 11.0%, respectively. Total revenue reflects increased operating revenue and higher subcontracted transportation costs passed through to customers. The increase in operating revenue was driven primarily by recent acquisitions. SCS EBT grew to US$64.0 million. Results benefited from stronger automotive performance and recent acquisitions.
In the Dedicated Transportation Solutions unit, earnings reflected acquisition integration costs. DTS total revenue increased 24.0% and operating revenue grew 33.0%. Total and operating revenue increased due to the Cardinal Logistics acquisition. DTS EBT reached US$18.0 million. The decrease was due to Cardinal Logistics' acquisition integration and other related costs, as well as higher insurance costs.
First-quarter capital expenditures decreased to US$716.0 million in 2024, compared to US$802.0 million in 2023, primarily reflecting lower investments in commercial rental. First-quarter net cash provided by operating activities from continuing operations was US$526.0 million compared to US$478.0 million in 2023, primarily reflecting lower working capital needs. Free cash flow (non-GAAP) of US$13.0 million, compared to US$101.0 million in 2023, reflects lower proceeds from sales of property and revenue-earning equipment.
Debt-to-equity as of 31 March 2024 was 246.0%, compared to 232.0% at year-end 2023, and remains below the Company's long-term target of 250.0% to 300.0%.
Looking ahead, the Company has raised the lower end of its full-year forecast to reflect the outperformance in the quarter, partially offset by a more modest rental upturn than initially expected.
23-04-2024
ID Logistics has announced its revenues for Q1, 2024. The quarter marked a further acceleration in ID Logistics' revenues growth compared with the end of 2023. This good revenue momentum was driven by the start-up of major projects in several key countries, both in Europe and across the Atlantic.
ID Logistics recorded revenues of €736.3 million in Q1, 2024, up +17.6%. This good performance includes the revenues of Spedimex, a company acquired in Poland and consolidated since 01 June 2023. Adjusted for this and a generally favourable exchange rate effect during the quarter, like-for-like growth was +12.4% compared with Q1, 2023.
Particularly noteworthy during the quarter were:
> Revenues stabilised in France (-0.5% of revenues) after a 2023 characterised by lower consumption volumes;
> Quarterly revenues growth in Europe (excluding France) of +14.3% on a like-for-like basis;
> Very strong momentum in the US, with like-for-like revenues growth of 29.5%;
> Like-for-like growth of +21.6% in Latin America and Asia.
Over the past quarter, ID Logistics started up seven new projects.
ID Logistics continued to respond to a sustained number of calls for tender during Q1, 2024. For example, the Group won or started up the following new contracts:
> In France, before summer 2024, ID Logistics will be starting up a new activity for one of its main customers, a global e-commerce giant, on an 86,000 m2 site near Amiens.
> In Brazil, Wella Company, world leader in the beauty industry, has entrusted ID Logistics with the management of logistics activities at its new 12,000 m2 national distribution centre in the south of the state of Minas Gerais.
> In the US, continuing its collaboration with one of the world's largest candy manufacturers, ID Logistics will take over management of a 28,000 m2 site southwest of Chicago.
22-04-2024
Mahindra Logistics Ltd. (MLL), one of India’s integrated logistics & mobility solutions providers, announced its audited consolidated financial results for the quarter and year ended 31 March 2024.
Q4 FY24 (consolidated) performance compared with Q4 FY23.
> Revenue Rs. 1,451 crores as compared to Rs. 1,273 crores.
> EBITDA Rs.57 crores as compared to Rs.64 crores.
> PBT Rs. (9.2) crores as compared to Rs. (4.6) crores.
FY24 (consolidated) performance compared with FY23.
> Revenue Rs.5,506 crores as compared to Rs. 5128 crores.
> EBITDA Rs. 229 crores as compared to Rs. 260 crores.
> PBT Rs. (26.4) crores as compared to Rs. 34.5 crores.
> 3PL Supply Chain services grew 14.0% in Q4FY23 on YOY basis, full year growth of 7.0%, driven by growth in automotive and engineering, consumer.
> Freight forwarding and Express businesses continued to show improvements in volume on a sequential quarter basis. Express business continued with the positive trend on network and
cost optimisation.
> Strong quarter of order intake in Mobility and across the 3PL supply chain business, driven
by growth in FMCG, Engineering and Auto.
> Warehouse space under management stood at 1.9 million m2 in the 3PL business. Current
expansions in Chakan, Kolkata, Nasik, and Guwahati are on track.
The quarter by was marked by an increasing volume recovery and growth as the Company saw positive momentum across the businesses, with strong growth in 3PL and Mobility segments. The B2B express business has started seeing the benefits of cost optimisation, as it continued to improve operating margins & EBITDA. The mobility segment remains on a recovery path. Overall In FY 2023-24, excluding one-time charges, earnings across the core 3PL and other businesses were stable and improving. Completion of the second tranche of investment in Zip Zap Logistics will help further consolidate and provide an expanded range of services form last mile delivery and micro-fulfilment.
Looking ahead, the Company remains focused on driving the value of logistics solutions by integrating services across India, leveraging its technology, process and human capital.
26-04-2024
DPD will install 40 new parcel lockers in Estonia this year. In Latvia, 49 new parcel machines will be added and in Lithuania 75. This will bring DPD's network of parcel lockers in the Baltic States to more than 1,100. The investment amounts to nearly €4.0 million.
DPD already has the second largest network of parcel lockers in Estonia, and with the new additions it is moving even closer to the people. DPD parcel lockers are today located within 2.0 kilometres of 81.0% of people in Estonia, which means that for a large part of the population a DPD parcel locker is a short walk away. With the expansion of the network of parcel lockers, this percentage will increase further. The constantly renewing and expanding network across the Baltic States and Europe brings both domestic and international parcel services to every corner of Estonia.
The year-on-year growth in eCommerce volumes and the development of a service that meets consumers' expectations and lifestyles play an important role in the addition of parcel lockers and the continuous expansion of the network.
In Latvia and Lithuania, the preferred method of delivery is also via parcel lockers. With many Estonian e-shops selling or about to start selling across the Baltics, there is a strong demand for a coherent and well-functioning network. DPD's network can also send parcels across the Baltics, as well as across Europe. Already today, DPD's dense network includes more than 100,000 parcel points and lockers across Europe, which companies can use to their advantage to expand their e-business and enter new markets.
With its network of parcel lockers in Estonia, DPD is the second largest provider of parcel delivery and collection services across Europe.
26-04-2024
With the current environmental challenges in mind, Pickup, a subsidiary of La Poste group and a leading network of collection points and parcel lockers in France, is bringing its innovation to the table with the first ever solar-powered parcel lockers. Lockers for parcel collection that require no installation work. The Company is making a step change, responding to a number of strategic challenges, both economic and ecological.
Pickup came up with the idea for this project involving energy self-sufficient parcel lockers, which require no installation work, more than a year ago. The aim was to make it easier to install lockers by bypassing the need for connection work, to better meet the growing demand for this type of service from online shoppers. A solution in line with consumers' aspirations and current environmental challenges, which effectively supports retail partners in their business objectives. After a painstaking design and development phase, a prototype was successfully installed on 26 September last year at a ‘Stations-e’ electric vehicle charging station in Combs-la-Ville, in the Paris area. A few weeks later, the rollout of the mass production model began.
With this new range of parcel lockers, Pickup is offering a parcel collection service that is both convenient and environmentally responsible, as it is powered by a renewable energy source.
In line with today's challenges, the parcel locker system is changing to reduce greenhouse gas emissions and have less impact on the environment.
This new model is quicker and cheaper to install than ‘standard’ lockers, as it requires no connection to the electrical power grid. The model is mounted on legs and has a built-in concrete weighted plinth for optimum stability. As it uses less energy, it also helps to reduce the electricity bills of partner retailers.
In terms of performance, the solar-powered parcel locker delivers on all its promises. Able to run autonomously for ten days without sunlight thanks to its batteries, the solar-powered parcel locker is every bit as reliable as plug-in models.
Its launch in autumn 2023 has allowed Pickup to validate the robustness of the model, which sailed through its first winter in all regions of France.
On top of all these benefits, it is also low maintenance. Depending on the location, it may be necessary to clean the solar panel in autumn, when leaves are falling, for example. These parcel lockers have an average lifespan of 10 years. A review will then be carried out to assess the possibility of extending the life of the equipment, by reconditioning parts that are too worn. As for unsalvageable parts, they will be sent to specialised dismantling centres for recycling in compliance with current standards.
These new solar-powered parcel lockers, most of which are accessible 24/7, will gradually be offered to all Pickup partners with outdoor space (independent retailers, major retail chains, service stations, etc.). Having already installed almost 250 of the new units since September last year, Pickup is aiming to roll out more than 1,000 solar-powered parcel lockers by the end of 2024. By 2026, half of all Pickup parcel lockers should be covered in solar panels.
To take it even further, the Company is also looking to reduce the energy use of its ‘standard’ parcel lockers. To achieve this, it has developed a system that puts non-essential elements of the parcel locker on standby when it is not in use, leading to an energy saving of up to 30.0%. In this way, Pickup is seeking to introduce new, more responsible ways of doing things, reinventing the local experience in town centres.
21-04-2024
LX Pantos has opened its new, expansive railway terminal in Tata, Hungary. The LX Pantos Tata Terminal, strategically located near Europe’s largest battery production hub and pivotal railway corridors, will significantly boost the Company’s competitive edge in European logistics.
Located 65 kilometres southwest of Budapest, the 36,000 m2 terminal covers an area roughly the size of five soccer fields and features two dedicated rail tracks. With a capacity to accommodate 1,450 TEU, the facility is prepared to manage three block train shipments daily. A block train shipment consists of a single train dedicated to carrying containers from one destination to another without any intermediate stops or changes in railcar composition.
LX Pantos signed a decade-long terminal usage rights agreement with RCG subsidiary Logisztár Kft. and is entitled to an exclusive option for a ten-year renewal.
As the fourth-largest battery production hub globally, following China, Poland, and the US, Hungary is emerging as the centre of the burgeoning electric vehicle and battery industry in Europe. Accordingly, the region has been experiencing a significant surge in logistics demand, necessitating enhanced railway terminal capabilities to address site limitations and capacity challenges of existing facilities.
With the opening of the Tata Terminal, LX Pantos is set to capitalise on its logistical advantages, proximity to Europe’s largest battery production hub, thereby enhancing cargo handling efficiency. The Company plans to develop various railway products to expand its logistics operations across Europe.
Specifically, the blueprint involves connecting major inland cities in Europe via the Trans China Railway (TCR) and launching a new maritime-rail multimodal transportation service from Slovenia’s Port of Koper, a key gateway for Eastern European maritime logistics, to major battery production centres throughout the continent. The Trans China Railway (TCR) is an international railway that extends from Eastern China through Central Asia and Russia to Europe.
The Tata Terminal marks a significant milestone for LX Pantos. As it strengthens its sales capabilities toward the electric vehicle and battery sectors, the Company is committed to expanding its footprint in the European logistics market through differentiated logistics services.
26-04-2024
On 12 December last, the government decided to end the concession for newspaper and magazine deliveries, introducing a six-month transition period between 01 January and 30 June 2024. Following this announcement bpost has worked hard to develop a new commercial service offer for newspaper and magazine deliveries from 01 July. The Company entered into discussions with publishers with the aim of proposing an attractive, high-quality service while retaining the highest possible volume.
Flemish publishers and bpost have now reached an agreement on further cooperation in the coming years. This agreement allows bpost to avoid a social shock and achieve a soft transition to a different distribution model from 2025.
bpost has made every effort to convince the publishers with a competitive offer for the provision of a high-quality service. Concretely, this means that bpost plans a gradual transfer of newspaper volumes to its subsidiary AMP as of 2025. AMP will work with subcontractors employing permanent staff for the distribution of newspapers. The agreement covers a volume equivalent to +/- 75.0% of the current volume delivered by bpost.
bpost services will also have to be gradually adapted to the continual reduction of newspaper and mail volumes. The reduction of these volumes, which cannot be completely offset by increasing parcel volumes, shows that bpost needs to increasingly adapt to the current context. This is essential for the continuity of the Belgian business and to avoid social consequences going forward.
These two measures mean that bpost is able to safeguard the jobs of employees on open ended contracts in Flanders.
Discussions continue with French-speaking newspaper publishers. Here again, the aims are to retain the highest possible newspaper volume, avoid social consequences and safeguard the jobs of employees on open ended contracts.
In order to meet the diverse requirements of the various organisations issuing periodicals (including commercial companies and NGOs), bpost has developed a new delivery service offer, that is in line with the universal postal service obligations and that takes into account the needs of the customers. The goal of the new service offer is to safeguard the continuity of the business, with due consideration for the specifics of the Belgian media landscape.
Customer visits have already been scheduled from earlier this week. The offer will be available online on the bpost website early May.
25-04-2024
Kuehne + Nagel now manages a 170,000 m2 spare parts fulfilment and delivery centre in Wallersdorf, Germany. From this location, spare parts are supplied to BMW markets worldwide. Here, Kuehne + Nagel is responsible for the physical receipt of goods, pre-packaging, the management of packaging material and empties as well as the loading of goods onto shuttles for dispatch to all BMW parts distribution locations.
At the Dingolfing and Bruckberg sites, Kuehne + Nagel now also ensures the logistical handling of BMW spare parts for worldwide dispatch: regional distribution centres around the world are supplied with parts from here, which in turn ensure delivery to the local BMW dealerships in the individual countries.
Kuehne + Nagel thus supports the BMW Group in spare parts logistics with around 1,700 employees at various locations worldwide.
The 3PL stated that it is pleased to take over the extended tasks in spare parts logistics for the BMW Group, supporting its customer in being more efficient in the supply of spare parts and being able to react more flexibly. The decisive factor here is not only their expertise in this area but also the growing trust between the two teams.
25-04-2024
JD Logistics has announced the expansion of its partnership with MINISO, the renowned household and consumer goods retailer. This collaboration, which began in 2022 with operations in Australia, now extends to MINISO’s network in Malaysia.
JD Logistics’ robust global supply chain infrastructure includes nearly 90 bonded, direct mail, and overseas warehouses across key markets such as the US, Germany, the Netherlands, France, the UK, Australia, the Middle East, and Southeast Asia. Committed to replicating its proven supply chain management expertise from China in international markets, JD Logistics provides extensive support to a broad spectrum of clients, including international enterprises and Chinese brands expanding overseas.
MINISO’s diverse product range and rapid restocking requirements, combined with its strategic store locations in bustling commercial areas, present unique logistical challenges. These include critical delivery lead times and the need for off-hours operations to ensure uninterrupted customer experiences. JD Logistics has effectively met these demands through reliable and adaptable warehousing and fulfilment service solutions.
Notably, the trust built with MINISO has led some store managers to entrust their store keys to JD Logistics’ drivers to facilitate smooth and timely deliveries. Among them is JD Logistics driver Nick Yang, responsible for delivering goods to all MINISO stores in Sydney. Yang’s daily schedule involves commuting between JD Logistics’ warehouse and approximately 10 MINISO outlets throughout the city.
Over the next three years, JD Logistics will continue to develop its comprehensive global supply chain logistics network, which integrates overseas warehouses, international transshipment hubs, local distribution networks, and transnational transportation networks.
This partnership is not only a testament to JD Logistics’ proven expertise and global operational capabilities but also underscores the commitment of both companies to foster innovation in supply chain management for retail operations worldwide.
24-04-2024
NewCold has stepped into new territory with a highly automated warehouse strategically located in McDonough, Georgia, US. The US$333.0 million state-of-the-art facility is now operational and builds on the partnership with Conagra Brands, one of North America’s leading branded food companies.
Going live with the dry goods high-bay warehouse marks a new era in NewCold’s US presence as an innovator of multi-temperature, end-to-end food logistics solutions.
The large-scale warehouse features NewCold’s proprietary technology and is now the most advanced facility in Conagra’s network.
McDonough is NewCold’s fourth facility in the US. It is the latest facility in NewCold’s network that leverages automation to deliver 24/7 always-on high levels of service while adding greater resilience, sustainability, and efficiency to our customers’ supply chains.
Several NewCold team members have chosen to relocate to McDonough to contribute to this new endeavour. Hailed as the single-largest investment by a business in Henry County when announced in 2022, NewCold’s facility in Midland Industrial Park is to create 170 jobs. The investment is expected to bring economic uplift, innovation, and employment for local Georgians.
The site’s strategic location offers access to 80.0% of the US market in less than two days of driving or two hours by plane. Aside from road and rail, the state is also home to the nation’s fastest-growing port.
24-04-2024
Bolloré Logistics teams in the United Arab Emirates recently carried out the transport of deaerators in connection with the Jafurah cogeneration project, led by the largest electricity utility in South Korea, in collaboration with an oil and gas company from Saudi Arabia.
This landmark achievement required the meticulous coordination of the road transport of two deaerators, from Dubai to Jafurah, Saudi Arabia, each measuring 18 x 5 x 5 meters and weighing 52.5 tons.
The Jafurah cogeneration project is of immense importance in the field of energy infrastructure.
Despite numerous challenges, including managing complex border regulations and transporting oversized cargo, the team rose to the occasion, leveraging their expertise and commitment to ensure the smooth movement of these critical components. Strategic partnerships with specialist suppliers equipped with hydraulic and modular trailers was central to the success of this operation, allowing the project to overcome logistical obstacles and deliver the degassers to their destination safely.
24-04-2024
The Antonov 124, one of the largest commercial aircrafts in the world, was recently chartered by air freight operator Europa Air & Sea to move time-critical cargo from the UK to the UAE. The AN-124 is capable of carrying up 120 tonnes at take-off.
Europa’s Air & Sea division, which has specialist teams both in the UAE (established in Dubai in 2022) and the UK, managed the cargo from point of pick up to point of delivery, for one of the UK’s leading hydraulics manufacturers. The Antonov touched down at 1.30 am local time on 18 April bringing the complex project and flight to a successful close, albeit against the largest storms recorded in UAE since records began.
Due to the sheer size of the cargo, Europa had to not only charter this very specific aircraft but organise and manage the permits necessary for domestic haulage. The cargo had to undergo complex customs clearance processes for export to its UAE end-user and was extremely time critical.
Having previously experienced delays of up to three weeks due to these complexities, the customer sought out Europa Air & Sea with its customs infrastructure in Dubai and the UK to successfully clear the cargo within hours of landing, contributing to the seamless movement between customer and end-user.
23-04-2024
FM Logistic has entered into an unprecedented partnership with Clarins, a global cosmetic group. Together, they will deploy an agile and flexible distribution network across ten European countries. This network will operate from three strategic Clarins logistics sites in France, Spain, and Italy. FM Logistic has developed a unique and personalised control tower solution, specifically designed to meet the development challenges of the Clarins Group in Europe. It provides real-time flow visibility, order planning, proactive risk management, improved customer satisfaction, and optimised impact on CSR and transport.
After conducting an initial two-year joint pilot project on a European scale, Clarins and FM Logistic are strengthening their ties through the signing of a strategic partnership. This partnership aims to support a largescale European distribution network, serving about ten countries, and operating from three key sites based in France (Clarins warehouse in Amiens), Italy (FM Logistic warehouse in Vellezzo Bellini), and Spain (FM Logistic warehouse in Illescas).
Thanks to a proven coordination capacity over the months, the two companies now offer an optimised distribution chain.
Core to the partnership is the deployment of a control tower that enables FM Logistic to respond effectively to the growing needs of its customers, while supporting them in a constantly evolving global environment.
This new technology solution, designed with a tailor-made approach, helps to build more solid and sustainable supply chains. Additionally, this system optimises end-to-end logistics flow to significantly reduce their carbon footprint. Real-time data monitoring ensures a transparent and proactive system for identifying improvement fields and supply chain alerts.
As the supply chain faces increasing complexity in transport flows, FM Logistic continues its commitments with positive impacts. Through a process of continuous improvement and collective determination, the Company tackles the challenges of sustainable development alongside its clients and stakeholders.
As part of its ‘Supply Change’ strategy, FM Logistic is increasing its initiatives to build sustainable omnichannel supply chains and encourage more responsible consumption. This translates into daily awareness-raising among its employees, strengthening energy efficiency in buildings, and the pooling of sites and logistics flows, exemplified by the partnership with Clarins. To achieve this, FM Logistic collaborates with various organisations and bases its commitments on two fundamental reference texts: the Global Compact and the United Nations Sustainable Development Goals.
23-04-2024
GXO Logistics has renewed its contract with major consumer packaged goods company, Mars in France, a partnership that started 15 years ago. GXO manages storage, distribution, returns and value added-services for a number of Mars brands across its Snacking and Food & Nutrition segments.
For many years, GXO has been leveraging its automation expertise to help Mars transform its supply chain, and it will expand the deployment of automated solutions to further enhance efficiency and improve team members’ experience.
GXO’s 60,000 m2 warehouse in Boigny-sur-Bionne has leveraged advanced automation solutions since 2018, including a layer picking robot that can prepare up to 60,000 packages per day. Recently, as part of the contract extension, the team developed a solution that enables new product ranges to be integrated into those managed by the robot, thus optimising and increasing package preparation capacity.
In addition, the facility uses adaptive technology, including tools such as ergonomic scanners and e-beacon technology that automatically scan pallets loaded for shipment. As part of its commitment to continuous improvement, GXO plans to implement additional innovations on-site, including an automated inventory system.
The Mars factory, based in Saint-Denis-de-l’Hôtel, historically has produced pouches and cans for major Petfood brands. In 2023, the Company invested €85.0 million to address increasing demand and improve environmental performance while confirming the attachment of the group to the French territory and in particular to the Loiret.
Mars brands served at the site include Petcare (PEDIGREE, WHISKAS, CESAR, SHEBA, ROYAL CANIN), Snacking (M&M’s, TWIX, SNICKERS, Celebrations, FREEDENT, SKITTLES) and Food & Nutrition segments (BEN’S Original, EBLY, SUZI WAN).
In addition to their high operational standards, Mars and GXO share a desire for sustainable growth, ensuring best practices are integrated across their initiatives. Mars worked with GXO to install LED lighting on-site in 2024, with twilight and motion detection, lowering energy consumption by approximately 22.0% compared to the previous year. In 2023, new initiatives implemented for order preparation and loading efficiency helped optimise truck capacity and removed 1,500 truck movements from roads, reducing CO2 emissions by approximately 1,400 tons annually compared to 2022 as well as reducing transportation costs significantly. The facility also houses more than 20 sheep to maintain green spaces on site in a sustainable manner.
The site’s location has also enabled rail transportation from production facilities located in Germany. This new agreement will see the use of three trains per week, which is equivalent to the volume handled by roughly 70 trucks, and consequently reducing long distance transport miles travelled by a forecasted amount of 3,600 trucks per year.
23-04-2024
XPO will provide a comprehensive fourth-party logistics (4PL) solution to global crop protection leader UPL in a new three-year partnership. UPL offers solutions for the entire agriculture ecosystem with a sales presence in more than 130 countries, as well as several production sites with major hubs in France and Belgium.
The XPO state-of-the-art 4PL solution, Key-PL, will manage tens of thousands of transport orders in the region for UPL, providing a significant opportunity to enhance UPL’s operational performance. The Key-PL solution ensures that every transport plan is carried out in the most efficient way possible, bringing together more than 1,400 connected carriers and 180 loading points, resulting in significant savings by improving operational and financial performance for customers.
Key-PL is based on three fundamental capabilities:
1. Engineering and management of all customer flows (physical, financial and information)
2. Transparent and neutral procurement management, independent from carrier selection
3. A control tower, organised with dedicated experts, for 360-degree visibility
Central to the partnership agreement with UPL is the completeness of the XPO 4PL product, which provides an end-to-end digital solution integrating everything under one proprietary Order Management System (OMS). This allows UPL to maintain their current transport organisation and benefit from a fully outsourced service, with no requirement to set up an OMS or Transport Management System or hire additional staff to manage flows effectively. It also offers an integrated pricing methodology and uniform visibility across all flows and can manage both land and sea flows seamlessly – which is critical to the UPL business model.
XPO puts continuous improvement and gains sharing with partners at the heart of its Key-PL solution, ensuring a positive feedback loop that delivers ongoing value and excellence.
UPL couldn't be happier with its partnership with XPO. The transition from its former 4PL solution to XPO has been seamless and has really showcased their exceptional teamwork and professionalism. The implementation, in particular, was managed excellently with no disruption to customer service. This change has been transformative for UPL, enabling it to provide a more proactive customer experience, while the improved cost management has made it more competitive in the market.
XPO has tailored its 4PL solution to meet the specific needs of UPL, which operates a large and complex business. This includes pre-billing and freight audit services and an emphasis on sustainability through collection of CO2 emissions measurements and an associated progress plan. The adaptable and innovative capabilities of Key-PL enable its customisation to suit a variety of businesses.
23-04-2024
Wincanton has been selected to manage national transport operations in the UK for JD Sports, a leading omnichannel retailer of sports fashion brands. The new, multi-year contract, which begins in August 2024, will see Wincanton provide transport services for retail operations from JD Sports’ distribution centres to its growing footprint of over 560 retail stores nationwide.
Wincanton was chosen by JD Sports for its depth of services and capabilities, ability to provide supply chain resilience and agility and a clear roadmap for continuous improvement leveraging Wincanton’s digital transport platform, EyeQ.
Some 230 colleagues, comprising of those in driver, management and outbase roles, will transfer from the previous service provider to join Wincanton’s team of over 20,300 colleagues as part of this new partnership.
The partnership will provide JD Sports with a platform for growth, supporting the strategy to become the leading global sports fashion powerhouse.
23-04-2024
B’Infinite Europe, together with Bolloré Logistics’ China team, have completed the handling of a high-value art exhibition shipment. The shipment, comprising 41 pieces of high-value artworks, arrived in Duisburg, Germany via rail from Yiwu, China. Bolloré Logistics then took charge of transporting these pieces from Duisburg to Paris, France.
The artworks, including ceramic vases and Chinese paintings by a renowned Chinese artist, underwent a journey that involved customs clearance, loading, and unloading, unpacking, installation, and repacking for their return.
Bolloré Logistics’ teams of experts in China, Germany, and France handled each step with precision and efficiency, overcoming challenges such as temporary import declarations, traffic constraints in central Paris, and the narrow entrance to the museum. With the joint efforts of the team, these artworks could be presented to the French audience.
The exhibition, organised to celebrate the 60th anniversary of diplomatic relations between China and France, and as part of China-France cultural exchanges during the Paris 2024 Olympic Games, was a testament to the strong cultural ties between the two nations.
23-04-2024
Menzies Aviation has extended a major contract with Malaysia Airlines for a further five years. Menzies will continue to provide passenger, ramp and cargo services at five locations across Australia and New Zealand, including Sydney Airport (SYD), Melbourne Airport (MEL), Adelaide Airport (ADL), Perth Airport (PER) and Auckland Airport (AKL).
The contract extension is a testament of a great partnership and the trust that MAB has forged with Menzies over the last eight years. Menzies has always been supportive of MAB operations throughout ANZ region despite the challenges post Covid 19. Menzies has continuously engaged MAB to address these challenges and enforce their utmost commitment to support MAB’s plan to grow the ANZ operations.
Under the extended agreement, Menzies teams are expected to handle 3,200 flights across the five locations each year until 2029. This renewal strengthens the pair’s long-term partnership at these locations, where Menzies has provided a range of services to the Malaysian national flag carrier since 2016.
22-04-2024
Pacific National announced a 10-year contract extension with Linfox to provide national linehaul rail freight services. The renewed contract cements the longstanding partnership between the two companies and will ensure Linfox can continue to provide end-to-end freight delivery solutions for its customers.
Pacific National is Australia’s largest private rail freight operator. Its extensive rollingstock assets include more than 180 main line locomotives and almost 2,000 wagons dedicated to servicing its containerised business.
Pacific National’s network, ability to scale freight services and investment pipeline will ensure Linfox remains on track to meet future growth and sustainability aspirations. Rail-based intermodal freight systems offer three times greater fuel efficiency than road transport, leading to significant reductions in greenhouse gas emissions. Embracing rail transportation provides Linfox customers with a valuable opportunity to strengthen their sustainability commitments.
26-04-2024
Gebrüder Weiss has enlarged its logistics facility at the Dunaharaszti location near Budapest. The new logistics complex covers 10,000 m2 and includes office space, a handling facility, and a high-bay warehouse. The logistics company is creating additional storage capacity for its customers. In addition, in future all Home Delivery services for the greater Budapest area will be bundled from here. The investment volume amounts to around €25.0 million.
The expansion in Budapest offers room for further growth in the future. Increasing industrial production, especially in the automotive and electrical sectors, means that demand for transport and logistics services is expected to increase in the coming years.
Gebrüder Weiss opened its first Central and Eastern Europe branch in Hungary in 1989. Since then, the country has become an important hub for transporting goods between the Company’s core markets in the Black Sea region, the Balkans, the Adriatic and Western Europe.
The existing logistics facility was also modernised as part of this work, with inbound storage, material flow and picking now being largely automated using the new AutoStore system. The goods are stored in plastic containers stacked in a frame system. Robots transport the containers to work stations where the goods are picked for shipping.
This saves time, space, and energy. Cargometer cameras and 3D scanners measure the packaged items while they are still on the forklift truck. By ascertaining the size and weight of these items, the Company can make optimum use of the available space.
The majority of the energy required for buildings and e-vehicles is supplied by a photovoltaic system with an output of up to 354 kWp. The Company use solar power to operate delivery vehicles in the home delivery sector. This enables it to cut CO2 emissions by around 12.5 tons per month.
Gebrüder Weiss has been present in Hungary since 1989 and today offers full-service logistics at six locations – in addition to Budapest, these are Győr, Zalaegerszeg, Pécs, Szeged and Polgár – with 450 employees – from land transport to air and sea freight to warehouse logistics. Further expansion is planned for 2026 in Győr, where a completely new logistics facility is to be built.
25-04-2024
With the initial groundbreaking, the construction of the new Mercedes-Benz AG International Consolidation Centre (ICC) in Bischweier (District of Rastatt), German, has officially started. The project will be realised on an existing site that is already used for industrial purposes and is setting standards with regard to sustainability.
In the next few months, a modern logistics centre with a total usable area of 130,000 m2 will be built on the former Kronospan premises which is approx. 250,000 m2. It will act as a central consolidation point for Mercedes-Benz to supply the international production network, contain vehicle components and meet the highest sustainability standards.
As one of several measures, the construction materials from the building formerly on the site will be recycled and reused for the new building. The logistics centre will be constructed in accordance with the platinum standard set forth by the Deutschen Gesellschaft für Nachhaltiges Bauen (DGNB) [German Association for Sustainable Construction]. Sustainability will also be implemented with regard to transport: Short transport routes by lorry will be successively converted to electric and the reactivated rail connection on the premises will play a key role in production supply over long distances.
Mercedes-Benz approached this project with the same demands regarding sustainability as Panattoni. Mercedes-Benz considers the entire value creation chain in its sustainable business strategy. The ICC in Bischweier will make a significant contribution in the future on the regional level and for its global production network.
The Bischweier site is an ideal site for the new ICC due to its proximity to the Mercedes-Benz plant in Rastatt and the pressing plant in Kuppenheim as well as the good transport route connection. The new logistics centre will employ around 500 employees and thus strengthen the economic region of Murgtal.
25-04-2024
Logicor has secured a long-term lease to existing customer, Pamark Business Oy, on a new 7,600 m2 extension at its current warehouse in the prime location of Hakkila, Vantaa. The extension will provide an additional 2,400 pallet spaces, enabling Pamark to expand its distribution business operations from the new space.
The new development project will target at least BREEAM Very Good certification and is expected to complete in summer 2024.
The Hakkila logistics site is located 15 kilometres from the city centre of Helsinki, and seven kilometres from Helsinki Airport. The location offers quick access to important transport routes in southern Finland.
This project in Hakkila’s logistics area complements Logicor’s portfolio of one million square metres in Finland. This extensive portfolio across Finland’s key growth centres offers customers excellent opportunities for long-term business growth.
The site in Hakkila is located in one of the most highly sought-after logistics sites in the capital region, where the current supply of new and modern logistics space is low.
A 12-metre-high warehouse space of around 3,300 m2 with excellent transport connections, which is due to complete in summer 2024, is also still available for lease at the site.
25-04-2024
Lidl has opened a new 167,000 m2 logistics centre in Kriz, northern Croatia. The retailer invested €120.0 million in the facility, the Company’s largest investment since its entry into the Croatian market 18 years ago,
The logistics centre is the third, and largest, logistics and distribution centre for Lidl in the country.
The facility took more than two years to build and has capacity for 39,000 pallets.
25-04-2024
In Q1, 2024, CTP signed a lease contract with logistics provider iLogistic for an additional 2,000 m2. The Company will thus occupy a total of 13,000 m2 of space in the ever-evolving BIA3 Building of CTPark Budapest West. Here, it will not only benefit from flexible services but also have the opportunity for ongoing expansion of its space.
Founded in 2006, iLogistic specialises in online store logistics as one of the region’s leading fulfilment providers. The Company’s portfolio of activities includes warehousing, order picking, expediting, individual parcel assembly and dispatch, as well as a range of value-added services.
iLogistic, which has been present in the CTPark Budapest West logistics park for several years, extended its lease and increased its operating space because it had the opportunity for expansion with flexible conditions and innovative services. CTP’s strategic objective is to enable its tenants to grow in the same location, under excellent conditions, by taking over additional space and strengthening their position compared to their competitors.
The excellent location of the logistics park – next to the M7, M1 and M0 motorways and very close to Budapest – was also a key factor in the agreement. The location of CTPark Budapest West also benefits businesses that have an extensive distribution network and/or their own store premises in neighbouring countries, regions or in Budapest.
The BIA3 Hall, leased by iLogistic, has a BREEAM ‘Very Good’ rating, which puts it in competition with many other buildings under construction or already delivered in terms of sustainability and cost-effective operation. The BIA3 Hall, as part of continuous upgrades, will also be equipped with solar panels, allowing iLogistic to use green energy, which means cheaper operating costs. The building has also undergone heat pump installation, building engineering and HVAC upgrades, with a state-of-the-art building management system (BMS) also put into operation to programme daily processes and technical solutions in efficient and energy-saving fashion.
CTP has focused significantly on modernising the CTPark Budapest West warehouse, where iLogistic is tenants. Notable developments include the installation of a modern heat pump cooling-heating system controlled by a BMS system in most of the leased areas, as well as roof re-insulation. One of the most significant advantages is the construction of a solar park, expected to reduce o overhead costs by 15-25.0% upon completion.
25-04-2024
PANTHERx Rare, a leader in rare disease pharmacy, patient access, and support services in the US, has announced three new expansions that will facilitate the Company's continued growth and enhance its innovative capabilities to serve more people living with rare and devastating conditions.
First, the Company is expanding geographically beyond its Pittsburgh-region roots to Collierville, TN, near Memphis and FedEx's World Headquarters. This new facility will become the second licensed pharmacy and packaging and dispensing location for PANTHERx Rare, creating a fully redundant logistics solution. The Memphis location has over 2,790 m2 in warehousing and dispensing space, along with 743 m2 of built-in refrigerator/freezer space to house temperature-sensitive medications, with a capacity of more than 1.5 million shipments annually. The facility will be a services hub to provide 24/7 support to patients and their healthcare providers and is expected to be fully operational in late 2024.
Next, PANTHERx Rare plans to move its national headquarters to the Settlers Ridge campus in Pittsburgh, four miles from its current location, in the fall of 2024. This LEED Gold-certified HQ creates a responsible, energising HQ space to accommodate PANTHERx's future growth and expanding RxARECARE programmes.
The third expansion, also on the Settlers Ridge campus, will house a world-class dispensing operation for rare disease, with multiple power sources, significant generators, and a viewing platform to witness the operations. The dispensing facility, with over 2,600 m2 of warehouse and dispensing space, will significantly increase the total shipment capacity. It is scheduled for a late 2026 opening.
25-04-2024
Cardinal Health recently took a significant step to bolster domestic medical product storage capabilities in Canada with the opening of a new 15,145 m2 distribution centre in Ontario, increasing the distribution footprint in Canada to more than 111,485 m2.
It is also the first facility fully dedicated to Cardinal Health’s ValueLink logistics service that provides healthcare facilities with streamlined, unit-specific orders. ValueLink provides data-driven analytics on customer’s actual product usage, so that orders and deliveries are customised down to the department or supply room.
For short and long-term performance, the Canadian healthcare system relies on clinically effective products and a reliable, resilient supply chain. As a manufacturer and distributor of healthcare products with advanced supply chain planning solutions and robotic innovation, Cardinal Health is uniquely positioned to help tackle Canada’s surgical backlog and partner to support long-term solutions to improve health systems and patient outcomes.
In Canada, Cardinal Health has an expansive healthcare distribution footprint, servicing more than 95.0% of hospitals, 6,000+ surgery centres and 3,000 long-term care facilities. Its distribution network supports more than 40,000 delivery touch points across Canada.
Cardinal Health has invested in advanced digital supply chain planning capabilities to provide end-to-end, global visibility and transparency, while factoring in seasonality and pandemic planning. The platform supports healthcare providers with the ability to make fast, confident decisions about their medical product needs by using advanced insights and analytics in real time. It has also introduced robots into its warehouse in Quebec and its newest location in Ontario. The deployment of robotics is part of a commitment to enhance automation and drive efficiencies in the supply chain and operations across the enterprise.
Thanks to the new Ontario distribution centre, the Company’s National Replenishment Centre now has more capacity to store and supply products to the rest of the Company’s network across Canada – and this strengthens the overall resilience of its medical product supply chain.
24-04-2024
SEGRO has signed an agreement with DB Logistic extending the long-term cooperation of both companies in a strategic location for the client in Silesia, Poland. DB Logistic has been renting warehouse space in SEGRO Logistics Park Gliwice since 2018. As part of the agreement, the Company has just decided to extend the lease and increase the area by one-third to use a total of nearly 5,000 m2.
Thanks to its strategic location that meets the customer's needs, SEGRO Logistics Park Gliwice provides DB Logistic with the opportunity to use the extensive infrastructure in the Silesian region and convenient connections in all directions. The park is located in the immediate vicinity of the A4 motorway and national road No. 88 and near the intersection with the A1 motorway. It is worth mentioning that an additional advantage of this location for SEGRO clients operating in other industries is the proximity of the Special Economic Zone in Gliwice.
DB Logistic primarily reach customers in Germany and the Czech Republic, as well as those in France, Belgium, the Netherlands and Slovakia, which is why it greatly values the location of SEGRO Logistics Park Gliwice.
Innovative sustainable solutions introduced in SEGRO Logistics Park Gliwice include, among others: electric vehicle charging stations or LED lighting controlled by the DALI system.
24-04-2024
A major new, sustainable warehousing development, known as the ‘Rhenus Campus’ has been officially opened by Rhenus Warehousing Solutions UK. The campus reaches high levels of sustainability by being certified “BREEAM Outstanding” and is setting new standards for environmental protection, helping Rhenus Warehousing Solutions UK to put sustainability at the forefront of its operations.
The ‘Rhenus Campus’ is home to two warehouses, across 64 acres. The first warehouse is 19,510 m2 whereas the second warehouse totals 71,630 m2.
Significant reductions in whole life carbon are being achieved, such as the CLT timber floors being 64.0% lower embodied carbon than a standard floor. Three air source heat pumps, enough to heat and ventilate the campus’ offices and provide frost protection for the warehouses, and 80 electric car charging points have been installed.
Renewable energy is being generated on-site via 2,288 415-watt solar panels, which give a total system size of over 949 kWp (kilowatt peak). The system will feed an estimated 870,000 kWh per annum into the campus – the equivalent power consumption of approximately 250 homes for a year.
The site features extensive green spaces, homes for local wildlife, and between 700 and 900 native trees. Employees can utilise on-site allotments, sports pitches, a walking/cycling trail and outdoor gym.
Rhenus is also running a Community Outreach Programme, in which it has partnered with Nuneaton Borough Ladies and Girls FC, Attleborough Sports JFC, the Nuneaton branch of the British Gurkha Veterans Association and Dare2Dream Foundation, allowing them to use the Company’s facilities.
24-04-2024
DX Group has announced the opening of its first regional depot in the Republic of Ireland. The new site comprising a 700 m2 facility is located on Toberbride Business Park in Collooney, Sligo and will cover Counties Sligo, Leitrim, Mayo and Roscommon.
The opening of the Sligo depot marks the start of a plan to expand the DX network within the Republic of Ireland. The Group is actively sourcing additional strategic locations to further enhance service levels and increase capacity across the country.
This new depot adds capacity for the Group’s Parcels operation, part of the DX Express division which provides highly secure, tracked deliveries. The new depot also improves operational efficiencies, reduces stem mileage, carbon emissions, and enhances customer service levels, a key focus for the Group. The DX Parcels operation remains a major area of growth for the Group and further capital investment is planned over the remainder of the year to support this.
24-04-2024
Swissport International continues to grow at Liège Airport, Belgium, adding a third air cargo centre at one of Europe’s major gateways for international air cargo. The extension is driven by additional capacity for eCommerce and forwarder handling, expanding the overall capacity by 17.0% to 27,000 m2.
With the addition, Swissport is the largest air cargo handler at the logistics hub. Located in a second line just behind its existing two air cargo centres, the terminal expansion enables Swissport to offer a wide range of handling services at unparalleled capacity. In a step aligned with Swissport’s global cargo strategy, the product portfolio now includes forwarder handling, eCommerce processing and sorting, import trucking, and specialised build-up/break-down operations for brokers, airlines, and others. The new, customs bonded facility, which opened on 22 April adds 4,000 m2 to Swissport’s capacity of now 27,000 m2.
The expansion enables the Company to offer customised handling solutions, catering to the specific needs of forwarders and eCommerce providers, activities that do not necessitate first-line services.
Swissport has been serving cargo airlines at Liège Airport since 2001 and offers a comprehensive suite of services for over eight airlines, covering general and special cargo handling, temperature-controlled handling, hub handling, express services, and forwarder handling. In 2023, a dedicated team of 300 Swissport professionals successfully handled an impressive 360,000 tons of air cargo and serviced over 3,750 freighters, significantly contributing to the robust performance of Swissport’s air cargo operations globally.
24-04-2024
Agile Cold Storage has opened a new logistics facility in Macon-Bibb County, US. The facility has been developed with a focus on energy efficiency, advanced warehouse management and value-add services to refrigerated and frozen food providers.
This complex project captured the attention of government officials, dignitaries and other special guests at the opening event because of the technological advancements and the relatively quick turnaround. After breaking ground in May of 2023, the project moved swiftly to complete the new, multi-temperature, state-of-the-art cold storage facility.
Strategically located on Joe Tamplin Industrial Boulevard, the site allows for easy access to I-16 and I-75 and the Port of Savannah. The facility includes a 19,975 m2 building and holds an impressive 33,666 pallet positions.
The facility hosts an environmentally friendly, low-charge ammonia refrigeration system. That means it consumes less electricity than traditional systems while maintaining temperatures ranging from 40 to minus 20 degrees Fahrenheit, reinforcing the Company's sustainability initiatives and commitment to cold.
23-04-2024
Heilind Electronics has formally opened its newest warehouse, distribution centre, and value add facility in Hanau, Germany, for its interconnect, sensors and fasteners. The Heilind distribution centre in Hanau will support growth in Central and Western Europe, namely the DACH region, Benelux, Italy and France for Industrial and MIL/Aero business to provide more storage for more stable supply chain.
The 8,000 m2 distribution centre allows for increased storage capacity, accommodating more inventory to meet demand fluctuations for relays, sensors, switches, thermal management and circuit protection products, terminal blocks, wire and cable, wiring accessories, fasteners, and insulation.
The Value-Added Distribution (VAD) services including kitting, re-reeling, special packaging, connector assembly and more – all tailored to meet the diverse needs of Heilind’s customers across Europe.
Since establishing a presence in Poland in 2019 and expanding into Central and Southeast Europe with the launch of a distribution centre in Mysłowice in 2022, the Company has seen tremendous growth. This expansion in Germany reflects a dedication to providing unparalleled service and support to customers.
22-04-2024
cargo-partner has opened its first warehouse facility in the UK, marking a significant milestone in its strategic expansion efforts. Located next to one of cargo-partner’s existing offices in Basildon, the new 4,460 m2 warehouse facility complements cargo-partner’s existing UK operational offices across Manchester, Bradford, and London.
While the Company has always offered warehousing services through partners, the Basildon facility represents the first cargo-partner managed warehousing facility in the UK. This strategic investment marks a significant milestone in a journey to provide end-to-end logistics solutions to customers.
Equipped with dedicated areas for pallet racking, order picking/packing, and storage, the Basildon warehouse seamlessly integrates with cargo-partner’s global network. The warehouse will be manned by a team of dedicated professionals, joining the business as part of a transfer of undertakings and adding significant expertise to cargo-partner’s workforce.
cargo-partner’s expansion into Basildon and the introduction of this new warehouse facility follows a period of rapid growth in the country, with the company opening its fourth UK office opposite London Heathrow Airport in November 2023. Alongside a well-established presence in Dublin, Ireland, cargo-partner is well-positioned to support businesses of all sizes across the British Isles with their local and international trade requirements.
The Austrian-based logistics provider has traditionally had a very strong presence in Central and Eastern Europe and has recently substantially invested in expanding its footprint in Western Europe. The Company has long established branch offices in Germany, Benelux, Sweden and Ireland, but has more recently expanded its network into the UK, Italy and Spain, ensuring cargo-partner is now represented in the most important markets in the region.
The new Basildon warehouse joins a portfolio of modern cargo-partner warehouses around the world, providing high quality services and reliability. cargo-partner already operates a dense network of warehouses with a total of over 300,000 m2 of storage space throughout Europe, Southeast Asia, and the USA. Further significant logistics investments in Western Europe include the 10,000 m2 facility in Sottrum near Hamburg, Germany, as well as a 6,045 m2 warehouse in Roermond, the Netherlands.
22-04-2024
Gruber Logistics is ready to inaugurate a new hub within the Quadrante Europa Interport in Verona, Italy. Gruber Logistics has made great strides in its expansion in recent years. Pre-pandemic, the Company’s turnover amounted to around €360.0 million, numbers which have now doubled thanks both to considerable organic growth and thanks to acquisitions of international importance such as the integration of the German company, Universal Transport, into the Group.
This investment marks an important step forward for the company, strategically positioning it in the heart of one of the main European hubs for freight traffic. With a successful history already consolidated in Verona for 40 years, Gruber Logistics therefore further strengthens its presence with this new hub, which represents an investment of over €2.0 million. Equipped with 70 loading docks and expected to welcome up to 100 new collaborators by the end of the year, the hub will be able to manage daily departures throughout Europe.
The Verona hub will become a fundamental point of reference for Gruber Logistics, helping to optimise logistics operations. Verona is a multi-service hub in which logistics, national and international distribution, complete and intermodal transport activities are synergistic with each other.
The collaboration between Gruber Logistics and Interporto Quadrante Europa has been consolidated for some time and goes beyond the simple relationship between logistics company and infrastructure manager. The two organisations collaborate, in fact, in promoting key issues such as digitalisation and sustainability, in particular through joint commitment to research and innovation projects also financed by the European Commission. A collaboration project is already in place between the two entities on the topic of digital cooperation for the promotion of intermodality but further ideas are in the pipeline such as the application of artificial intelligence solutions for the management of logistics flows and digital twins for the management of infrastructure.
24-04-2024
Geekplus has deployed the first Shelf-to-Person PopPick project in the Nordics for one of the biggest online pharmacy wholesalers in the region, Med24.dk. System Teknik partnered on the Denmark project, which includes three PopPick stations and 30 Shelf-to-Person robots, bringing a flexible solution to a region where fixed automation still dominates.
With the rise of eCommerce, Med24.dk had been struggling with huge sales growth coupled with fast delivery demands from customers in Denmark, Norway, Sweden searching for pharmacy, health and beauty products. Peak season events had also caused considerable strain to their operations. Due to their overwhelming success, Med24.dk needed a modular, automated order fulfilment solution for fast, efficient order fulfilment.
The Geekplus modular Shelf-to-Person solution optimises warehouse operations using mobile robots to transport shelves. In a region where fixed and cubic solutions have been the trend during recent years, Shelf-to-Person handles goods of all sizes while removing the need for infrastructure investment, making it the most flexible response to order fulfilment challenges.
PopPick workstations use two retrieval arms and four presentation locations to present pickers with multiple, moveable 78-tote racks at one time, resulting in an industry-leading throughput of 450 totes per hour. PopPick can store goods of all types and sizes; the solution is not limited to small pieces and improves ergonomics for workers while picking. It also takes up less space than traditional systems, so customers can use more stations without adding facility space.
23-04-2024
FedEx Express has joined forces with Zonos, a leader in cross-border technology, to significantly enhance the global online shopping experience by creating transparency on customs processes and charges. The alliance enables UK and EU retailers to expand their market reach confidently and easily while ensuring customer satisfaction through timely and transparent delivery processes.
This collaboration emerges at a crucial time as cross-border eCommerce transactions are expected to surge over the next five years. By leveraging Zonos’ innovative cross-border technology and FedEx’s extensive logistics network and services, the collaboration directly addresses customer concerns by helping to eliminate unexpected charges and reduce shipping delays.
Zonos’ automated solutions inform shoppers of the total cost of their purchases, allowing them to pay all duties, taxes, and fees at checkout. This approach ensures packages are shipped fully prepaid. Combined with the automatic generation of Harmonised System (HS) codes and accurate customs documentation, the customs clearance process is significantly expedited, greatly reducing the risk of packages being held. FedEx offers transparent delivery costs, including a range of options for delivery of shipments with prepaid customs charges, as well as full tracking.
Additionally, this collaboration offers solutions to automate compliance for cross-border tax scheme collection and remittance, and the EU’s Import Control System 2 (ICS2) requirements, simplifying the regulatory landscape for retailers.
22-04-2024
Descartes Systems Group has acquired Aerospace Software Developments (ASD), a leading provider of customs and regulatory compliance solutions. Based in Ireland, ASD provides customs declaration software solutions for logistics services providers (LSPs) and shippers, as well as RFID solutions that help the air logistics community track assets.
The Company’s customs filing solutions, operating under the brand Thyme-IT, help importers, exporters, and LSPs comply with Irish regulatory requirements for imports and exports in a secure and efficient manner. In addition, ASD’s RFID solutions help global airlines and ground handlers eliminate manual tasks and comply with various airline regulations more efficiently through the unique identification, tagging, and tracking of assets.
Descartes’ Global Logistics Network (GLN) was built to help shippers, carriers, and LSPs connect and collaborate to manage the complete lifecycle of shipments. This combination with ASD is highly complementary to its current product footprint. ASD adds deep Irish customs domain expertise and a modern multi-country customs technology platform. Descartes also see great synergies for the airline community by combining ASD’s RFID-based solutions with its CORE BLE real-time tracking platform.
ASD is headquartered in Dublin, Ireland. Descartes arranged to acquire ASD for approximately €57.0 million (US$61.0 million), with €54.0 million paid at closing from cash on hand and the final arrangements for the transaction expected to occur in Descartes’ fiscal 2025 fourth quarter.
26-04-2024
GXO Logistics hashelped its long-term partner, Virgin Media O2, to significantly reduce plastic waste in its logistics operations. GXO has worked with the telecomms company to cut its consumption of single use plastics (SUP) from products sent to cable customers by almost 48 tonnes since 2021, further advancing both companies’ ESG achievements.
Companies have to reduce single use plastics from their supply chain to meet regulatory requirements and environmental goals. These results show what’s possible with a best in class partnership.
Plastic from packaging is one of the largest contributors to plastic waste, with government figures revealing the UK produced over 2.5 million tonnes of such waste in 2021. As part of its sustainability strategy, Virgin Media O2 is committing to achieve zero waste operations and products by the end of 2025, while one of GXO’s ESG goals includes an 80.0% global landfill diversion rate by 2025.
GXO enabled Virgin Media O2 to reduce SUP consumption by 94.0%, from 50.7 tonnes p/a in 2021 to 2.9 tonnes p/a in 2023 through collaboration and implementing various initiatives, including:
> Designing a plastic-free packaging solution for Virgin Media O2 cable customers returning equipment, resulting in a reduction of 22 tonnes of SUP p/a.
> Implementing a closed-loop process with the Company’s repair operation, shipping returned products using pallet lids rather than pallet wraps.
> Introducing reusable pallet collars to replace shrink wrap to enable safe transportation.
> Replacing packaging materials with sustainable alternatives, such as substituting bubbled envelopes with reusable Jiffy Green bags and replacing parcel tape with a gummed paper solution.
> The removal of all SUP associated with TV and broadband products before they reach customers to eliminate general waste in customer homes. All removed SUP is recycled, reused or repurposed.
With a partnership spanning over two decades, GXO began managing Virgin Media O2’s end-to-end logistics operation in the U.K. and Ireland in 2009. GXO supports the Company’s B2B operations, distributing equipment for Virgin Media O2’s engineers and technicians to a network of more than 50 regional distribution centres. In addition, GXO manages the company’s B2C operations, dispatching TV and broadband equipment, as well as handling reverse logistics, including returns and recycling.
26-04-2024
Yodel has taken delivery of 80 S.BO PACE trailers from Schmitz Cargobull as part of a commitment to more sustainable deliveries. The Company, which makes more than 190 million deliveries annually, received its second significant order with Europe’s largest trailer manufacturer in just three years based on calculations suggesting it could help reduce annual fuel costs and 1,464kg in CO2 savings per trailer.
Yodel selected the lighter weight of the S.BO PACE trailer compared to some of its competitors, and expect to see some tangible benefits in the first year of operation, including substantial improvements in fuel economy across the fleet.
Schmitz Cargobull’s production plant in Manchester moved quickly to turn around the order – building and delivering all the trailers within the space of four months.
The S.BO PACE trailers will operate the length and breadth of England, Scotland and Wales, covering all 47 of Yodel’s service centres as well as its three national sortation hubs. The new arrivals join a 1,845-strong fleet including more than 1,100 single deck trailers, 343 tractor units and 221 vans, each expected to clock up around 145,000km per year.
Designed for courier express parcel services transport, the S.BO PACE offers a weight saving of up to 700kg over traditional dry-freight trailer designs thanks to its STRUKTOPLAST panels – lightweight, polypropylene honeycomb-shaped core panels –which increases payload capability and leads to a significant reduction in fuel costs and CO2 emissions over the lifecycle of the trailer.
Yodel’s latest order with Schmitz Cargobull follows a £14.0 million investment in its fleet over 2023, helping to meet growing demand and improve efficiency.
23-04-2024
At the beginning of April, DHL Freight put its first fully electric tractor-trailers from Mercedes-Benz Trucks into service. Effective immediately, the eActros 300 vehicles are being deployed for delivery and distribution transport at the Koblenz and Hagen sites. The truck stationed in Hagen makes transport more sustainable on round trips between the DHL branch and the Mercedes-Benz plant in Kassel, a Daimler Truck location. The second eActros 300 truck makes carbon-free deliveries to customers in the Koblenz area. With a maximum weight of 19 metric tons, these are DHL Freight's first heavy battery electric tractor-trailers in Germany.
In line with the Group's sustainability strategy, the plan is to increase the share of electric vehicles in the delivery fleet to 60.0% and that of sustainable fuels within the DHL Group to more than 30.0%.
The vehicles are eActros 300 tractor-trailers that are each powered by two electric engines with a peak output of up to 400 kW. The trucks have a range of approximately 220 kilometres and, depending on the charging infrastructure, the battery can be recharged from 20.0% to 80.0% in about one hour and 15 minutes at a charging capacity of up to 160 kW.
The fully electric eActros 300 tractor-trailers are specially designed for regional distribution transport and are already capable of performing a wide range of conventional truck operations.
Mercedes is pleased that the eActros 300 is now also helping to make local road freight transport carbon-free in its own site delivery operations.
DHL is testing and implementing various technological solutions as part of its drive towards more sustainable road freight transport, as no drive type so far has conclusively asserted itself, particularly for long distances.
In addition to the fully electric tractor-trailers, for example, DHL Freight recently began operating a hydrogen truck from the commercial vehicle maker Paul Nutzfahrzeuge GmbH. The aim is to not just identify the right engine mix, but also influentially drive the transition to more sustainability in industry.
25-04-2024
Yusen Logistics (UK) is partnering with the Kaleidoscope Group UK, which supports people with disabilities to gain employment via an incubator programme. Yusen Logistics UK partnered with Kaleidoscope to make recruitment across its UK sites more accessible to people with all types of disabilities. Kaleidoscope is also supporting Yusen Logistics with accessibility assessments and improving disability awareness training.
Candidates on the first Kaleidoscope incubator programme for Yusen Logistics are provided with training that helps to maximise their chances of employment and to find the right role for them.
According to the Kaleidoscope Group, the individuals that it has encountered during its journey at Yusen Logistics have been exceptional and have shown a real commitment to thinking differently and reviewing their existing recruitment practices.
25-04-2024
SEKO Logistics has announced the promotion of Kris Arthur as Chief Information Security Officer (CISO), effective immediately. This newly created position reflects SEKO’s continued commitment to ensuring the privacy and the safekeeping of the information their clients provide.
As CISO, Arthur will be responsible for leading the Company’s global cybersecurity strategy and compliance initiatives, fortifying SEKO’s posture and ensuring the highest level of security for clients and employees.
With 25 years of technology infrastructure experience, Arthur joined SEKO in 2021 as Director, Infrastructure & Security. In this role, he led the achievement of significant milestones, including cloud migration, establishment of multi-factor authentication and initiation of zero-trust architecture.
23-04-2024
Forward Air Corporation announced that Shawn Stewart has been named Chief Executive Officer and a Director of the Board, effective 28 April 2024. Michael Hance, who served as Interim CEO, will continue to serve as Chief Legal Officer and Secretary.
Mr. Stewart is a seasoned executive with nearly three decades of experience in logistics and transportation. During his tenure at CEVA Logistics, Mr. Stewart held numerous leadership positions and most recently served as President and Managing Director, North America. In this role, Mr. Stewart spearheaded the growth and development of the region, overseeing a vast network of operations across the US, Canada, Mexico and the Caribbean Islands. He was responsible for a diverse team of more than 15,000 employees and more than US$5.0 billion in top-line turnover.
Under Mr. Stewart’s leadership, CEVA Logistics experienced substantial business growth and operational improvements, including a double-digit reduction in direct operating expenses. Mr. Stewart’s commitment to operational excellence and his customer-centric approach consistently delivered results, including improvement of on-time service metrics.
23-04-2024
Maersk has appointed John Wetherell as the Global Head of Airfreight Forwarding. This is a new role that created by the Company with a defined focus on leadership of its air freight forwarding business.
Following Wetherell’s promotion, responsibilities now cover commercial carrier management, procurement, strategic network planning and design, operational excellence, and growth.
John Wetherell has 30 years of experience in the logistics industry including leadership roles in large regional and global air product teams across North America, Europe and Asia. He previously held senior air freight leadership roles with CEVA Logistics, the former UTi Worldwide (now DSV), and former Exel PLC (now DHL).
Before being appointed to his current role, Wetherell served as Maersk’s regional Head of Airfreight in North America, a role that will now be assumed by Brent Mayhew. Mayhew has leadership and operational experience in companies including CEVA Logistics, Kuehne + Nagel, and DHL.
Todd Hildreth will continue to lead Maersk’s global Own Controlled Flight Operations (OCFO) which currently incorporates dedicated capacity flown by three different air carriers – Maersk Air Cargo, with its Europe-China routes; Amerijet, conducting transpacific flights from North America to Asia; and Magma with its transatlantic flights from Europe to North America.
23-04-2024
Lineage has announced the appointment of Shellye Archambeau to the Board of Directors of Lineage’s operating subsidiary, Lineage Logistics Holdings, LLC. Archambeau assumed her position on the board this month, bringing deep expertise as a seasoned CEO and public company board leader to her role.
Archambeau brings to the board over 30 years of experience building and scaling business-to-consumer and business-to-business brands in the technology industry, with expertise in governance, risk and compliance, marketing and entrepreneurship. She is a senior executive mentor with the ExCo Group and currently serves on the boards of Verizon Communications Inc. where she chairs the Corporate Governance and Policy Committee; Roper Technologies, Inc. where she chairs the Nominating and Governance Committee; Okta, Inc. and two national non-profits, Catalyst Inc. and Braven, Inc. She previously served on the boards of Nordstrom, Inc. and Arbitron Inc. (acquired by Nielsen Holdings N.V.).
She is the former CEO of MetricStream, Inc., a Silicon Valley-based software company, where she led the Company’s transformation into a leader in governance, risk and compliance solutions. She also previously served as the Chief Marketing Officer and Executive Vice President of Sales at NorthPoint Communications, and Executive Vice President of Sales & Marketing at Loudcloud, as well as the President of Blockbuster.com, where she launched the entertainment retailer’s first online presence.
Archambeau has significant expertise with integrated enterprise risk management, regulatory compliance functions and quality, as well as vendor and audit management software solutions across a wide range of industries.
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