A global player in industrial logistics and the European leader in automotive logistics, the GEFCO Group recorded a turnover of €2.1 billion in the first half of 2014, up 6.9% compared to the same period in 2013. The current operating profit amounts to €53.9 million, for a net profit of €32 million, an increase of 60%. Luc Nadal, Chairman of the GEFCO Group Management Board, commented: “These positive results for the first half of 2014 reflect our Group’s renowned skill in optimising our customers’ supply chains and thus allowing them to be more competitive in the difficult economic climate, as well as in managing our own costs.”
Satisfying financial and operational performances
| 1st semester 2013 | 1st semester 2014 | Var. 2014/2013 | |
| Turnover (in € billions) | 1.999 | 2.136 | + 6.9% |
| Current Operating Profit (€M) | 40.2 | 53.9 | + 34% |
| Net profit (€M) | 20 | 32 | + 60% |
The GEFCO Group’s turnover reached more than €2 billion in the first half of 2014, a 6.9% increase compared to the same period last year. Most of this development took place in Europe and Asia, more than making up for the difficulties experienced in the Russian and Latin American markets. This performance, in line with the Group’s forecasts, confirms GEFCO’s position among the 10 leading European logistics integrators.
The very strong rise in net income confirms the effectiveness of GEFCO’s “asset-light” business model and the strength of its flexible costs structure.
With virtually no debt and a free cash flow, GEFCO demonstrates good financial health which gives it the means to achieve its growth objectives.
An increasingly diversified client portfolio
This growth in the Group’s activity reflects the importance of its diversification strategy and the success of its implementation.
Established in 1949 to handle the management of PEUGEOT inter-factory transports, GEFCO has grown out of the automotive industry – one of the most complex and demanding sectors for logistics operators. GEFCO has since developed a unique integrated logistics service, designing management plans and multi-modal transport optimisation plans in an ever-growing global economy.
Today, this expertise allows GEFCO to include all of the major global automotive manufacturers among its principal clients, making the Group number one in Europe for finished vehicles logistics. GEFCO is the 4PL* partner of General Motors (GM), ensuring the comprehensive management of GM’s supply chain in Europe and in Russia, as part of a contract based on the transportation of more than one million vehicles per year.
GEFCO also successfully adapts this expertise to other key sectors of the industry. Between the first half of 2013 and the first half of 2014, GEFCO significantly increased its turnover in the industrial (+20%), FMCG (+7%) and electronics (+7%) sectors.
Overall, the turnover generated from key international accounts – excluding PSA Peugeot Citroën – and medium-sized companies, amounts to more than €1 billion in the first half of 2014, or 54.3% of the overall turnover, compared to 46.5% during the same period in 2013.
Sustained international growth
In the first semester of 2014, the logistics flows operated by GEFCO multiplied between Asia, Russia and Europe.The new door-to-door rail transport service between Asia and Europe launched by GEFCO, makes it possible to ship goods to over a dozen countries, including Russia, Kazakhstan, Belarus, Uzbekistan, Germany and Hungary, and constitutes a unique growth lever for GEFCO.
This first half of 2014 thus constitutes a solid step forward in the implementation of GEFCO’s sustainable growth strategy, which aims for a turnover of €8 billion by 2020.
*4th Party Logistics
