DSV increases net revenues 4.7% in 2015

The Danish global transport and logistics provider saw adjusted earnings jump 20.5 percent year-over-year in 2015 to 2.2 billion Danish krone.    Danish global transport and logistics provider DSV posted a profit for the year of 2.1 billion Danish krone (U.S. $312.6 million) for 2015, a 38 percent increase from 2014, according to the company’s 2015 Annual Report.
   Net revenues jumped 4.7 percent year-over-year to DKK 50.9 billion for 2015.
   The 22 percent surge in DSV’s adjusted diluted earnings per share from DKK 10.53 per share for 2014 to DKK 12.85 per share for 2015 resulted from improved adjusted earnings and a reduced number of outstanding shares.
   “2015 was a good year for DSV. We gained market share across all business segments and delivered earnings and cash flow in line with the forecast,” DSV CEO Jens Bjørn Andersen said in a statement. “The Air & Sea Division was the main contributor to the growth in earnings, but the Road Division also delivered a good comeback.”
   For 2016, DSV projects the full year operating profit before special items will range between DKK 3.1 billion and DKK 3.5 billion, net financial expenses to total around DKK 450 million and the group’s effective tax rate to total approximately 25 percent.
   The company did not provide any guidance for the gross profit or free cash flow outlook for 2016 due to its $1.35 billion acquisition of UTi Worldwide Inc., which was finalized just last month. The acquisition increases DSV’s revenues by around 50 percent, making it the fourth largest freight forwarder in the world.
   As a result of the merger, DSV decided to let go of 41 employees in Portland, Ore., according to a report from the Portland Business Journal. DSV told the Wall Street Journal these layoffs are just part of an overall review of the acquisition and there could be more to come.