HHLA reports steady first-half profits

The logistics provider and container terminal operator posted operating profits of 82.6 million euros for the first half of 2015, a year-over-year increase of 1.5 percent.    Hamburger Hafen und Logistik AG (HHLA) reported operating profits of 82.6 million euros (U.S. $95.62 million) for the first half of 2015, up 1.5 percent from the first half of 2014. The logistics provider and container terminal operator posted revenues of 585.1 million euros for the first half of 2015, a year-over-year drop of 1.8 percent, according to the company’s latest financial statements.
   Container throughput at HHLA’s terminals in Hamburg and Odessa reported a 10 percent year-over-year drop to 3.4 million TEUs. Hamburg terminals saw less throughput from the reduction in feeder traffic with the Baltic Sea ports. In addition, traffic to and from Russia also declined steeply.
   HHLA’s intermodal companies increased their volumes 3.2 percent to 654,000 TEUs for the first half of the year. Although China, Russia and the Ukraine’s weakened economies have hindered HHLA’s operating environment overall, the company’s intermodal segment reported strong growth, as the investments made in procuring its own locomotives, wagons and terminals are now taking full effect. This has allowed the company to more than double the operating result of its intermodal segment, HHLA’s Executive Board Chairman Klaus-Dieter Peters explained.
   HHLA’s Port Logistics subgroup also increased its operating result 0.3 percent to 74.1 million euros with revenues declining 2 percent to 569.8 million euros.
   For the full year, HHLA said it expects a consolidated operating result at the previous year’s level. “However, based on developments in the first half, HHLA now anticipates a moderate decrease in volumes and an EBIT result of between € 125 million and € 135 million in the Container segment for the full year. By contrast, a strong increase in earnings is now anticipated in the Intermodal segment as opposed to a considerable rise,” HHLA said.