Kuehne+Nagel (K+N) more than doubled its earnings in the first half of 2021 boosted by the “continued worldwide economic growth,” which it said contributed to robust demand for logistics services.

In a statement, it said the group reached a group net turnover of CHF13.3 billion (US$14.44 billion), up 35% from the same period last year. Earnings before interest and taxes increased by 147% year over year.

Demand expected to remain strong

“This year, we are experiencing uniquely high consumer demand combined with supply chain uncertainty. Thanks to the tireless efforts of our employees, a successfully implemented strategy and our agile logistics solutions, we have once again met the increased service requirements of our customers in a challenging market environment. We expect demand to remain strong and look forward with confidence to continuing the positive development,” said Detlef Trefzger, chief executive of K+N.

K+N’s air logistics division also saw higher results “despite global capacity constraints”  in the first six months of this year. The company noted that it recorded a CHF4 billion (US$4.34 billion), net turnover for the segment for the period which was up 62% higher year-on-year.

Its airfreight volumes in the first half also mounted 44% at 988,000 tonnes.

K+N said its Apex Logistics acquisition earlier this year contributed to the growth in its air division.

“[Apex] is one of Asia’s leading freight forwarders, especially on the transpacific trade route,” K+N said. “Together, K+N and Apex offer their customers a compelling value proposition in the competitive Asian logistics industry, especially in e-commerce fulfilment, hi-tech and e-mobility.”

The company noted that its airfreight segment was able to satisfy demand also due to its "tailor-made customer solutions such as combined sea-and-airfreight" and "transport solutions for pharma and vital commodities, as well as e-commerce."

K+N said during the first half of this year, demand for sustainable aviation fuel (SAF) surged as well.

As a result, K+N formed long-term airfreight alliances with American Airlines, IAG Cargo (British Airways), and Air France-KLM Martinair Cargo.