Swiss logistics company Kuehne+Nagel, one of the world’s largest, saw its net profit fall 20 per cent to 206 million francs ($259 million) in the third quarter from 339 million francs in the same period last year, it said in a statement.
Earnings before interest and tax (EBIT) fell 37% to 285 million francs, while earnings before interest, tax, depreciation and amortisation (EBITDA) fell 22% to 514 million francs.
Revenue decreased by 7% to 6.04 billion francs.
Kuehne & Nagel’s ocean freight division transported around 3.3 million twenty-foot containers (TEUs) in January-September, up 1% on last year. However, revenue fell 15% to 2.25 billion francs.
Air freight volumes were up 7% to 1.6 million tonnes. Revenue in this segment declined 5% to 1.72 billion francs.
Kuehne & Nagel worsened its operating profit forecast for the second time this year and now estimates it will be around 1.3 billion francs. It had previously expected 1.45-1.65bn francs.
The company also announced the launch of a cost-cutting programme, under which it plans to reduce its workforce by 1,000-1,500 jobs.
Kuehne & Nagel share prices during trading on Thursday are down 0.5%. The company’s capitalisation has fallen by almost 26% (to 18.4 billion francs) since the beginning of this year.
Kuehne & Nagel was founded in 1890. The company employs more than 85,000 people working in more than 100 countries and serving about 400,000 customers.