News / DSV says 'Schenker can deliver', as integration progresses – at a cost

© Timon Schneider

DSV has completed some 30% of the integration of DB Schenker in eight months and expects to finalise the process by the end of the year, it said today, as it announced profits up 8.4%. 

But the integration has come, as expected, with a heavy human cost: DSV said it had “reduced more than 5,400 white-collar full-time equivalents” since the integration began. 

CEO Jens Lund told investors on today’s earnings call: “Timeline on the Schenker integration will be done end of year 2026, with full financial impact on the synergies in 2027.”  

DSV has guided for EBIT, before special items, of Dkr23bn-Dkr25.5bn ($3.63bn-$4bn) in 2026, including “at least Dkr4bn ($630m) incremental synergy impact in 2026”, as it looks to demonstrate that Schenker can deliver the earnings uplift investors expect. 

Management made clear that one of the biggest levers was changing how Schenker sells and executes forwarding, particularly in air and ocean freight, where DSV believes it can improve yields through value-added services. 

Mr Lund said: “There is a clear tendency on ocean freight to produce significantly higher levels of value-added services [at DSV] than you did on the Schenker side. And Schenker had more focus on the freight mark-up. 

“So, of course, we want to introduce our way of working and phase that in so that we, basically, do more work at origin, produce more services. But also at destination.”  

The company’s annual report also highlighted its ambition to lift yields. It says: “DSV has an ambition to lift combined gross profit yields for air and sea freight towards pre-acquisition DSV levels.”  

While earnings were up in Air & Sea, yields were under pressure. The division delivered EBIT before special items of Dkr13,013m in 2025, up from Dkr11,888m the year before. However, gross profit per unit fell in both modes, underlining the challenge of improving profitability in a more normalised market. 

In airfreight, gross profit per unit fell 3.6%, to Dkr8,242, year on year. In ocean freight, it fell 10.1%, to Dkr4,274.  

Management also pointed to “a lag effect” from Schenker’s procurement profile in airfreight, saying: “Basically, when we took over Schenker, they had contracted longer than we had.”  

Mr Lund added: “These contracts taper off and then we can procure at market.”  

In Road, DSV posted revenue of Dkr77,977m in 2025, up 93%, with EBIT before special items of Dkr2,735m, up 46.5%.  

Management suggested conditions in European road freight were stabilising, but with only modest volume growth so far. Mr Lund said: “So the market has reached the bottom. So it’s growing 1% or 2% as we speak.”  

And it highlighted the business’s geographic exposure: “I’ll probably say around 90% of the volume is actually in Europe. So it is very exposed to the European market.”  

DSV said it continued to operate amid shifting market conditions and geopolitical disruption, including changes affecting ecommerce flows and ocean freight capacity. 

In its annual report, DSV says “the air freight market was impacted by changes to the de minimis exemption”, and references “incidents involving commercial vessels in the Red Sea” as factors shaping the operating environment.  

Full-year EBIT before special items rose 14.8% year on year in 2025, while profit for the year increased 8.4%, to Dkr10,299m.

You can see the full results here.