DSV says it had “healthy top-line growth” and expects to close Panalpina acquisition in third quarter of 2019.
The Danish logistics company DSV said Tuesday that it had a profit after tax of 963 million Danish krone ($144 million) in the first quarter of 2019, up from 769 million DKK in the comparable 2018 period.
Revenue reached nearly 20 billion DKK in the first quarter of 2019, up from 18.3 DKK in the same period last year.
Jens Bjørn Andersen, DSV’s chief executive, said, “We delivered strong results in Q1 2019, with healthy top-line growth across all divisions and a 15 percent underlying growth in EBIT. As previously announced, we have entered into an agreement to join forces with Panalpina and we expect that this transaction will close end Q3 this year. We are very much looking forward to teaming up with Panalpina, and while preparing for the integration, we are focused on delivering good customer service and managing the day-to-day operations. Our Q1 report is a clear testament to this.”
On April 1, DSV said it had reached an agreement to acquire Panalpina in an all-stock deal worth about $4.6 billion. The deal will make DSV Panalpina the fourth-largest freight forwarder in the world.
DSV said its “financial performance for Q1 2019 fully lived up to the expectations for 2019 originally published. However, to facilitate the listing of new shares for the exchange offer to the shareholders of Panalpina, DSV withdraws its outlook for 2019 effective as of today. We expect to publish a new financial outlook once the combination with Panalpina is completed.”