DSV Group Delivers Strong Results for H1 2022
The DSV Group has delivered strong results in H1 2022 achieving 61% growth in gross profit and doubling EBIT before special items compared to H1 2021.
Adjusted free cash flow developed even stronger and more than tripled compared to H1 2021.
The global logistics markets are still characterised by congestion and high rates, and the growth was driven by strong performance and high productivity across all divisions. The growth was further boosted by the successful integration of GIL’s activities.
Agility’s Global Integrated Logistics business (GIL) has been included in the consolidated financial statements of DSV since August 2021 when the acquisition was closed. Consequently, the business combination was not included in the comparable figures for H1 2021.
After the immediate shutdown in February due to the war, DSV's Ukrainian operations have now resumed their activities to the extent possible.
As described in the Q1 2022 report, DSV has decided to exit Russia and Belarus, and all activities in the two countries have now been divested or closed down.
For the first six months of 2022, revenue amounted to $16.882 billion, compared to $9.7 billion last year. In constant currencies and including the impact from GIL, growth for the six-month period was 67.6%.
For the first six months of 2022, gross profit amounted to $3.7 billion, compared to $2.2 billion last year. In constant currencies and including M&A, growth in gross profit was 61.1%.
EBIT before special items amounted to $1.9 billion for the first six months of 2022, compared to $904 million last year. In constant currencies, the increase in EBIT before special items was 100.3%.
Profit for the first six months of 2022 was $1.3 billion, compared to $661 million for the same period of 2021.
Based on DSV’s strong performance in H1 2022 and its expectations for the remainder of the year, it has upgraded the fullyear outlook for 2022 as follows:
EBIT before special items is expected to be in the range of $3.13 - $3.4 billion
The effective tax rate is expected to approximate 23% (unchanged)
The outlook is based on the assumption of a global GDP growth in the level of 2-3% for 2022.