Departing CFO claims Freightos will see profit in 2026 after reporting Q3 loss
UPDATED 28.11.24 TO INCLUDE FREIGHTOS INPUT AND REMOVE REFERENCE TO GUILLAUME HALLEUX Freightos’ share price fell ...
CHRW: RUNNING HIGHMAERSK: STRONG HON: BREAK-UP APPEALCHRW: CLOSING QUESTIONSCHRW: HEADCOUNT RISK MID-TERM CHRW: SHOOTING UPCHRW: OPPORTUNISTIC CHRW: CFO REMARKSCHRW: GETTING THERE CHRW: SEEKING VALUABLE INSIGHTCHRW: 'FIT FAST AND FOCUSED' CHRW: INVESTOR DAY AMZN: NASDAQ RALLYKNIN: LOOKING DOWNPLD: FLIPPING ASSETSWTC: BOLT-ON DEAL
CHRW: RUNNING HIGHMAERSK: STRONG HON: BREAK-UP APPEALCHRW: CLOSING QUESTIONSCHRW: HEADCOUNT RISK MID-TERM CHRW: SHOOTING UPCHRW: OPPORTUNISTIC CHRW: CFO REMARKSCHRW: GETTING THERE CHRW: SEEKING VALUABLE INSIGHTCHRW: 'FIT FAST AND FOCUSED' CHRW: INVESTOR DAY AMZN: NASDAQ RALLYKNIN: LOOKING DOWNPLD: FLIPPING ASSETSWTC: BOLT-ON DEAL
Agility Global Integrated Logistics (GIL) reported a 35.2% increase in third-quarter ebitda on the back of “significant cost reductions” and increased revenues in air freight and contract logistics.
Its third-quarter ebitda was recorded at KD18.5 m ($60.5m), while net revenue for the period was KD71.4m, representing 5.1% year-on-year growth. GIL gross revenue was KD305.7m, a 7.3% increase on same period in 2019.
However, the increases in air freight and contract logistics were offset by revenue declines in ocean freight, its fairs & events logistics arm (“hurt significantly by Coronavirus-related event cancellations”) and project logistics.
Air freight net revenue grew by 39.1% year on year, “driven by continued demand for exceptional shipments related to the life sciences vertical”, it said, while ocean freight earnings declined 14.5%, “as a result of volume and yield compression”.
However, both divisions saw volumes decline, due to “demand and production disruption arising from Covid-19 as well as capacity constraints”.
Meanwhile, contract logistics saw 12.7% year-on-year revenue growth, mainly in the Middle East where there was strong performance at new facilities in Kuwait, Saudi Arabia and the UAE.
However, GIL attributed profit growth to a range of cost reduction measures introduced at the outbreak of the pandemic in the first quarter.
At group level – which includes its infrastructure business – Agility reported an ebitda decline of 1.9% to KD46.5m, and flat revenue of KD403m, as some of its infrastructure operations struggled during the pandemic.
Tarek Sultan, Agility vice chairman and CEO, explained: “While we – like many businesses – are still feeling the impact of Covid-19, we are also seeing recovery across most of our business lines, albeit with each business recovering at a different pace.
“Agility benefited from early and decisive measures taken to contain costs and preserve cash, and is well poised to navigate what is likely to continue to be a volatile market for some time.
“Agility remains committed to investing in technology that will transform our industry, expanding our digital logistics offerings, and bringing world-class warehousing infrastructure to fast-growing emerging markets,” he added.
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