.. subcription
    .. rss channels
    .. press releases
    .. contacts


            november 20, 2019

.. in english  .. по-русски  .. latviski    

LKW Walter

IRFC 2020


  .. sitemap ..


  .. publications ..


  .. news ..


  .. advertisement ..





VIA LATVIA
LKW Walter
LKW Walter Rus
 
  .. partners ..

Indiaexportnews.com

Preliminary figures: VTG looks back on a satisfying 2013

  19.02.2014    

VTG Aktiengesellschaft, one of the leading wagon hire and rail logistics companies in Europe, has increased revenues and earnings in 2013 according to the preliminary unaudited figures today. Group revenues climbed by 2.2 percent to EUR 783.7 million in comparison with the previous year. Operating profit (EBITDA) also rose by a total of 5.7 percent to EUR 183.8 million.  
“We were able to continue to improve despite the economically challenging year. This was especially driven by the Railcar Division, which has benefited from disproportionate results through further investments in our diversified fleet,” explains Dr. Heiko Fischer, CEO of VTG AG. “In comparison, our logistics divisions had to struggle with continuing pressure on margins and a partial downturn in demand,” adds Fischer.

Investments lay the foundation for success in the Railcar Division
Due to continuingly positive market opportunities in 2013, VTG was able to benefit from sustained investment in the expansion of its wagon fleet. A total of approximately 1,300 new build wagons were added and went directly to customers as part of long-term rental contracts. Overall, revenue in the Railcar Division increased by 5.8 percent to EUR 332.9 million and the EBITDA rose by 8.2 percent to EUR 181.1 million. Capacity utilization of the wagons decreased slightly in the course of the year to 89.8 percent. This low fluctuation margin underscores the degree of stability in the Railcar Division.
 
Margin pressure and falling demand in the logistics divisions
Last year the Rail Logistics Division underwent both structural and staffing changes. In addition, difficult market conditions, particularly in the agricultural goods segment, had a negative impact on revenue and profit. As a result, revenue only rose slightly by 0.5 percent to EUR 298.4 million and the EBITDA fell by 50.3 percent to EUR 3.8 million.  
The joint venture between VTG and Kuehne + Nagel to consolidate rail logistics activities commenced operations on January 1, 2014 under the name VTG Rail Logistics. The focus for 2014 comprises the integration of employees as well as the future strategic alignment of the business. Additional income in this current year will be accompanied by similarly high associated integration costs. Positive contributions to profit from the new businesses are expected from 2015.
The difficult market environment and a further rise in margin pressure triggered a slight decline in revenue in the Tank Container Logistics Division. At EUR 152.3 million, revenue was 2.0 percent lower than the previous year and the EBITDA declined by 23.0 percent to EUR 9.2 million.
However, the downturn in the logistics units was more than compensated by the positive development in the Railcar Division.
 
Focus for 2014: Investments in the wagon fleet and internal process optimizations 
VTG anticipates additional opportunities for growth for 2014, especially in the Railcar Division. The company will therefore continue to invest in expanding the wagon fleet in order to provide its customers with modern and innovative rolling stock. Furthermore, the Executive Board expects results from the logistics divisions to once again improve. Taking into account the growth VTG has experienced in recent years, the company intends to pursue constant improvements to the organizational and process structures. The aim of these measures is to intensify the networking of the individual activities and reduce costs and thereby ensure competitiveness over the long-term.  
Overall, the VTG Executive Board expects positive business development for 2014. On the basis of additional wagon fleet investments and the initial integration of the rail logistics activities of Kuehne + Nagel, revenues should significantly increase and are anticipated to amount to between EUR 850 million and EUR 950 million. The EBITDA is projected to reach between EUR 188 million and EUR 200 million. Moreover, the Executive Board intends to propose the payment of a dividend of EUR 0.42 for the 2013 financial year at the 2014 Annual General Meeting.


.. search ..