Hellmann Continues Successful Business Development

The internationally active full-service provider Hellmann Worldwide Logistics has successfully completed the fiscal year 2020 and the first quarter of 2021 despite global challenges posed by the COVID-19 pandemic, and has consistently advanced the strategic development of the company.

(Osnabrück) While the first half of 2020 was particularly characterized by volume declines, especially in the air freight sector, the transport volume for the entire year was kept relatively stable thanks to strong and flexible product management as well as the acquisition of numerous new customers. Despite a slight overall decline in volume, the Hellmann Group was able to increase its annual revenue for 2020 by 4.4% to EUR 2.5 billion. The EBIT margin was increased to 2.9% through the consistent implementation of sustainable cost management and efficient corporate structures. Furthermore, the company also has a very solid financial position in this challenging environment: Cash flow was significantly increased last year, allowing the group to operate net debt-free.

Group Key Figures Significantly Above Previous Year Level

This positive corporate development continues in the current fiscal year 2021 across all product areas, resulting in the group key figures for the first quarter of 2021 being significantly above the previous year’s level. In the air and sea freight sectors, a significant increase in volume was recorded due to rising demand; the Contract Logistics segment benefits from newly acquired customer contracts as well as the ongoing rise in e-commerce activities. The Road & Rail sector is also developing positively. In addition to a massive increase in volume in land transport, demand for rail transport between Asia and Europe remains high.

Conditions for Sustainable Growth Established

Already in 2019, the management set the course for sustainable growth by introducing a new globally uniform organizational structure and consistently implementing a comprehensive digitalization strategy, thereby creating the conditions for significant efficiency improvements. At the same time, the reorganization of the global Hellmann network and the establishment of a strong international management team contributed to strengthening Hellmann’s market position across all product areas. Based on this, it is now essential to continuously increase the level of digitalization and, among other things, to introduce new transport management systems (TMS), expand operational business, and generate further growth. In this context, the company also aims to acquire operational and strategically forward-looking investments, e.g., in the areas of digitalization or specific niche products. “The year 2020 was also a stress test for Hellmann. Our goal of generating profitable growth was achieved despite the massive challenges. The crisis did not slow us down but rather highlighted our strengths: our flexibility, as well as the enormous commitment and motivation of all employees. In the current fiscal year, we want to implement the goals of our growth strategy and gain market shares in all product areas,” said Reiner Heiken, Chief Executive Officer of Hellmann Worldwide Logistics. Photo: © Hellmann / Image Caption: Hellmann Board: Martin Eberle (CFO) and Reiner Heiken (CEO)