BLG surpasses expectations in 2014 financial year

BLG CEO Frank Dreeke opened the 135th Annual Shareholders’ Meeting of BREMER LAGERHAUS-GESELLSCHAFT –Aktiengesellschaft von 1877– today with a word of thanks: “You, the shareholders, monitor our work constructively and critically. We would like to express our sincere gratitude for that.” After that he initially reported to the shareholders present on the listed BREMER LAGERHAUS-GESELLSCHAFT –Aktiengesellschaft von 1877–.

The annual financial statement for the 2014 financial year shows a balance sheet profit of EUR 1,536,000. According to German law, this is the basis for the dividend payout. “We pursue the goal of a profit-oriented and continuous dividend policy. In the future, too, we want to adhere to this strategy and allow our shareholders to share in the company’s success to an appropriate amount,” emphasized Frank Dreeke. The Board of Management and Supervisory Board therefore again proposed to use the available balance sheet profit to pay out a dividend of 40 cents per share, corresponding to a return of around 15 percent on the share capital entitled to dividends amounting to EUR 9,984,000. “That means we are excellently positioned compared to other listed companies in Germany,” states Frank Dreeke. The price of the BLG share developed remarkably positively in the reporting year. The share recorded a growth in value of over 37 percent – a first that reflects the substantial recognition of BLG’s performance.

BREMER LAGERHAUS-GESELLSCHAFT –Aktiengesellschaft von 1877– and BLG LOGISTICS GROUP AG & Co. KG, Bremen, the two companies that head BLG LOGISTICS, are closely linked, legally, economically and organizationally. As of 2014, they jointly prepare the consolidated financial statement of BLG LOGISTICS on the basis of amended accounting principles (IFRS). BLG LOGISTICS GROUP AG & Co. KG focuses on the strategic alignment and development of the BLG Group with its three divisions: Automobile Logistics, Contract Logistics and Container Logistics.

The BLG Group achieved and even surpassed the planned targets in terms of sales and earnings in the 2014 financial year in spite of a difficult political and economic environment. Sales rose by 3.3 percent to around EUR 883 million. Pretax earnings (EBT) of EUR 30.1 million are EUR 17.4 million higher than in the 2013 financial year. The decline in the earnings before taxes in the Contract Logistics Division as compared to the previous year was overcompensated for by growth in Automobile and Container Logistics. Another factor was the lack of one-off effects from 2013, namely restructuring of BLG’s commitment in Ukraine. The increase in the results from services, particularly in automobile logistics, significantly contributed to the rise in pretax earnings. This positive development is the result of increased value added at BLG’s inland terminals, an effective program for efficiency enhancement at the Bremerhaven Auto Terminal as well as very high vehicle exports.

Overall, BLG again showed a strong performance in the AUTOMOBILE Division in 2014. With a volume of 7.4 million handled, transported or technically processed vehicles the division maintained its position as market leader in Europe. By attaining a new record cargo handling volume of 2.3 million vehicles (plus 4.9 percent), Bremerhaven also further expanded its position as the leading car terminal in Europe. Since the German automobile industry anticipates further growth of its exports in the coming years, BLG is investing in a new parking deck in Bremerhaven with 6,000 additional spaces.

Although the CONTACT Division faced several challenges in 2014, it was able to win a number of new deals. BLG’s Retail Logistics segment recently received the “elogistics award 2015” for a robot-aided intralogistics concept in Frankfurt. In 2014 BLG handled an extremely high volume in the car parts logistics sector and currently manages 300,000 square meters with 1,900 employees in Bremen. For some time now BLG WindEnergy Logistics has been offering solutions for transporting XXL components in other sectors, too, such as plant, power station and mechanical engineering. Moreover, the CONTRACT Division will further expand its logistics activities in e-commerce and freight forwarding services in future.

The EUROGATE joint venture develops the CONTAINER Division. In 2014 EUROGATE increased its container handling volume by 4.2 percent to 14.8 million standard containers (TEU). Thanks to this new record result, EUROGATE remains Europe’s market leader in container handling, in spite of the prevailing competitive pressure for the container terminals and the still less than full capacity utilization in Wilhelmshaven. With a plus of 3.5 percent at the Bremerhaven, Hamburg and Wilhelmshaven locations the joint venture also strengthened its position as Germany’s largest terminal operator.

For 2015 BLG CEO Frank Dreeke reckons with a persisting course of slight growth, “although the development of the past months continued at the beginning of this year – sluggish economic recovery, structural adjustments in the euro area, slow growth in emerging economies and geopolitical unrest. We assume that sales in the CONTRACT Division will rise by four to five percent. That’s where we continue to see the greatest prospects because there is a very heterogeneous market here with a lot of potential customers. In the AUTOMOBILE Division we expect sales growth of three to four percent in 2015. For this reason, too, we are investing in the Bremerhaven Auto Terminal. In our estimation sales in the CONTAINER Division will increase by 2.5 to 3.5 percent.”

The Annual Shareholders’ Meeting adopted a resolution for formal approval of the Board of Management and Supervisory Board with a great majority and also approved all proposals of the corporate management.

May 27, 2015
BLG CEO Frank Dreeke at the 135th Annual Shareholders’ Meeting of BREMER LAGERHAUS-GESELLSCHAFT –Aktiengesellschaft von 1877–.