HHLA resists effects of pandemic

(Posted on 12/11/20)

Despite the lasting impact of the coronavirus pandemic, Hamburger Hafen und Logistik AG (HHLA) recorded a positive operating result in the first nine months of 2020. However, due to a strong decline in business activities in the second quarter, this result is sharply below (- 38.9 %) the prior-year figure. Revenue also declined (- 8.1 %). Container throughput and container transport recorded strong and moderate declines, respectively. Although there were minor indications of a recovery in business in the third quarter fostered by, among other things, the renewed growth of the Chinese economy, HHLA will not achieve the strong result of the previous year in 2020.

Angela Titzrath, Chairwoman of HHLA’s Executive Board: “HHLA responded well to the situation created by the coronavirus pandemic. Our facilities are operating reliably and stably under the conditions provided by the authorities to protect public health. HHLA moves what Germany and Europe need. This is something that consumers and companies can rely on. Even if our key performance indicators have not developed as we had expected at the beginning of the year, the positive operating result is proof that our business model is resilient. HHLA can fulfil its financial obligations at all times. To continue strengthening our future viability, we are investing further in our core business areas and are looking for new profitable growth initiatives and digital solutions. We regularly review our cost structure in order to secure our financial fields of action. With our ambitious efficiency programme, we aim to drastically reduce costs over the next five years in order to maintain the competitiveness of our services.”

The listed Port Logistics subgroup recorded an 8.1 % decline in revenue to € 937.4 million in the first nine months. The operating result (EBIT) decreased significantly by 40.7 % to € 96.6 million. The EBIT margin decreased by 5.6 percentage points to 10.3 %.

Revenue decreased year-on-year by 9.4 % to € 548.4 million in the first three quarters of 2020. This was primarily due to the decreases in volume caused by the coronavirus pandemic. The operating result (EBIT) decreased by € 43.9 million or 39.0 % year-on-year to € 68.7 million due to falling volumes. The EBIT margin decreased by 6.1 percentage points to 12.5 %.