Honold Logistics Group with Successful Financial Year 2019

The Honold Logistics Group presented the results for the financial year 2019 yesterday. While revenue increased by nine percent, profit before tax was even boosted by 15 percent. Corona is also affecting Honold this year. However, there is optimism that this financial year will remain within an acceptable range.

(PressBox Neu-Ulm) Yesterday, Heiner Matthias Honold, managing partner of the Honold Logistics Group, presented the company’s results for the year 2019. He expressed cautious optimism: The group was able to continue its positive development and looks back on a successful financial year. Currently, the management is doing everything possible to cope with the Corona crisis as best as they can.

Growth of Nine Percent

For 2019, the Honold Logistics Group reports a revenue of 246 million euros (previous year: 226 million euros) – an increase of 9 percent. The earnings before tax (EBT) increased again by more than 15 percent. Heiner Matthias Honold described this result as pleasing; the company traditionally does not disclose further financial figures. In 2019, an unprofitable location was closed. This measure led to a reduction in the number of employees (down by 132 since 2018 to currently 1,340) as well as an increased result. At the same time, the number of employees at the Eastern European locations was maintained, despite a significant increase in wages and salaries.

Challenges Due to the Corona Pandemic

Looking ahead to 2020, Heiner Matthias Honold emphasized the quick response to market shifts caused by the Corona crisis: “Our revenue fell by 11% in the first five months. We have consequently reduced business areas that were at risk due to Corona and appeared risky for the future.” Among other things, the Honold Logistics Group has divested from the tourism sector but was able to find a buyer who took over the team as a whole. The temporary employment sector was also reduced. The group is preparing for declines in the business fields of tire, metal, and aviation logistics. However, a proportionally relevant short-time work regulation beyond the year 2020 is only planned at four locations with a focus on aviation logistics. On the other hand, Honold expects growing revenues in the fields of pharmaceutical and consumer logistics. Additionally, another business area has developed beyond plan following expansion investments in 2019, proving dynamic in 2020 and generating significant new business. “For the remainder of 2020, we expect a revenue decline in a corridor between 9 and 13 percent and a profit decline of up to 5 percent,” predicted Heiner Matthias Honold. “Given the current events, this forecast is within an acceptable range.”

Growth in the Logistics Real Estate Sector – Anchor Customer Sought

The growth strategy in the logistics real estate sector, which has been intensified in recent years, remains unaffected by the Corona crisis, which Heiner Matthias Honold described as very successful. In a first step, Honold is renting a 20,000 square meter logistics hall to the Husqvarna Group for the 4th quarter of 2020. At the same time, the management is dynamically developing the business field further. Specifically, a new anchor customer is being sought for a large new construction property of up to 40,000 square meters.

Young People in Training

At the start of training in 2020, the group employs a total of 48 young people who are being trained for their future careers. The number of trainees and DHBW students remains nearly constant, as does the portfolio of training professions and courses. “We like to fill management positions with colleagues from our own ranks,” emphasized Honold. “Our young talent usually works highly motivated – we see this in everyday life as well as in trainee actions, for example, during the Ulm Education Fair.”

Outstanding Team

In light of the crisis, the managing partner looked at his team with respect and pride: “Our leaders have reacted perfectly at all levels, enabling the current, quite justifiable situation.” Beyond their own area of responsibility, the group offered assistance to the city and district in logistical matters during the crisis. These efforts will not be scaled back in light of a possible second wave of infections but rather intensified. “Personally, and on behalf of the entire Honold family, I would like to thank our management team for their consistently appropriate actions and the high flexibility of our colleagues in recent months! Everyone has delivered extraordinary performances and is ready to continue doing so.”

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