Damco experiences airfreight growth
Last year, Damco nearly doubled its airfreight tonnage when compared to 2010. The company's acquisition of Chinese airfreight forwarder formerly known as New Times Transportation helped propel the 47-percent growth rate.
Damco's ocean business experienced a 15-percent rise, while reduced imports for U.S. retailers were to blame for a 3-percent drop in supply-chain management volumes. Earnings before interest and tax for the entire company increased by 29 percent, year-over-year, topping out at $97 million. Damco's total revenue grew to $2.8 billion.
The August deal for NTT (now known as NTS), without a doubt, stands as the highlight of Damco's year in airfreight. “Our acquisition of NTS, the Chinese air freight forwarder, further demonstrates our commitment to growth markets and building a strong air freight platform to complement our supply chain management and ocean forwarding services," Rolf Habben-Jansen, Damco's CEO, said in a statement.
For the first half of 2011, airfreight tonnages were only up, year-over-year, by 11 percent. At that time, Habben-Jansen pledged to concentrate on IT development and enhancing customer service to improve supply-chain operations.
"We are winning more and more large customers and securing strategically important wins within our key target industry verticals,” he said in August.