- Result increased by 12 percent
- Dividend up to 45 cents per individual share
- Supervisory Board and CEO discharged with large majority
"We managed not only to achieve our targets for 2018, but also to exceed them." This was the conclusion drawn today about business year 2018 by BLG CEO Frank Dreeke at the 139th General Shareholders Meeting of BREMER LAGERHAUS-GESELLSCHAFT -Aktiengesellschaft von 1877. The meeting took place in the Congress Center Bremen. On behalf of the Board of Management, he thanked the 250 shareholders represented – who accounted for some 86 percent of the share capital – for coming. Then he presented his report on the listed company BREMER LAGERHAUS-GESELLSCHAFT -Aktiengesellschaft von 1877.
Based on the consistently positive development of the operating result, the Board of Management and Supervisory Board proposed an increase in the dividend. Frank Dreeke said: "Our express goal is to ensure our shareholders receive an appropriate participation in the company's success. Due to our sustained profit growth, we can keep the promise we made last year and raise the dividend per share to 45 cents.”
Despite good business development, the BLG share price was affected by the general market trend. On the final trading day, the share price closed at EUR 11.87.
BLG LOGISTICS GROUP AG & Co. KG concentrates on the strategic control and development of the BLG Group with its three divisions Automobile, Contract, and Container Logistics. Frank Dreeke said: "2018 was a successful year. We increased our result by 12 percent. The fact that our two divisions AUTOMOBILE and CONTRACT are so successful today is further proof that our strategy is working. We are continuing on this course in the current year."
Sales increase to around EUR 1.14 billion
Altogether, the BLG Group generated sales of EUR 1 billion and 141.3 million in 2018. That was an increase of EUR 53.5 million. Earnings before tax (EBT) grew significantly by EUR 3.99 million or 11.9 percent to EUR 37.5 million. Due to increased sales, the reporting year generated an EBT margin of 3.3 percent (previous year: 3.1 percent).
The strongest division in terms of sales revenue was Contract Logistics, which accounted for some EUR 600 million in 2018. Compared to the previous year, that was a growth of EUR 51.4 million, or 9.4 percent. The positive development results on the one hand from expansion of business with existing and new customers in the industrial and retail logistics business fields, and on the other hand from growth in forwarding operations. In 2018, the AUTOMOBILE division generated sales revenue amounting to EUR 553 million. The slight growth of 0.5 percent results from the stable handling volumes and good business development in automobile transport by rail. The CONTAINER division achieved sales revenues of EUR 302 million, in accordance with the BLG share of 50 percent in the company EUROGATE. Despite a slight downturn of 0.6 percent, the business activities of the EUROGATE Group developed better than planned under the difficult framework conditions.
"The growth in the AUTOMOBILE and CONTRACT divisions more than made up for the slight decrease in the CONTAINER division“, concluded Frank Dreeke.
BLG maintains successful course
After the CEO had intensively discussed the past business year in his report to the General Meeting, he turned to the future. "As a globally operating logistics company, we are always affected by macroeconomic and geopolitical developments." He added: "In the AUTOMOBILE division, we expect modest sales growth and a corresponding increase in EBT. For the CONTRACT division in 2019, we forecast growth in all business areas – industrial logistics, retail logistics, and shipping and forwarding. The CONTAINER division will be characterized by steadily growing cost pressure from shipping lines as well as the continued trend toward ever-larger ships." For business year 2019, the company anticipates sales by the BLG Group at least on the previous-year's level, EBT growth in the range of 5 to 8 percent, and a corresponding increase in the EBT margin. The express goal, Dreeke said, was making a profit in all business fields and continuing to grow.
With a large majority, the General Meeting discharged the Supervisory Board and the CEO and also agreed with all their proposed resolutions.
More information on the BLG General Shareholders Meeting and 2018 Annual Report: