DHL Group Wraps Up 2022 With Record Revenue of EUR 94.4 Billion
(Image Source: Unsplash/ Claudio Schwarz)
The world's largest logistics provider, Deutsche Post DHL Group, continued its profitable growth in the most recent fiscal year. The Group broke its own record for annual sales by 15.5%, bringing in EUR 94.4 billion. Although international trade and e-commerce returned to normal in 2022, with growth slowing in the fourth quarter as predicted, the increase in revenue was driven exclusively by the foreign operations of the DHL divisions.
As a result, shipping volumes fell just short of the all-time record set in 2021. The company was able to maintain optimal use of its worldwide networks all through the year because of its adaptable organizational structure. High freight rates in the forwarding industry, especially in the early half of the year, were also a boon to the company, as was the growing need for reliable supply chains in contract logistics.
An all-time high operational profit (EBIT) of EUR 8.4 billion was realized by the Deutsche Post DHL Group (2021: EUR 8.0 billion). The primary factor was the rising profitability of DHL's foreign operations, which brought in an EBIT of almost EUR 7.6 billion (2021: EUR 6.6 billion). Post & Parcel Germany had a drop in EBIT of almost EUR 500 million, to EUR 1.3 billion, compared to the previous year. On a consolidated scale, the EBIT margin was 8.9 percent (2021: 9.8 percent).
"We have once again proved our Group's skill of overcoming adverse situations, and we look ahead in the greatest shape ever," said the company CEO Frank Appel in a statement. "Despite the challenges, we were able to prove our resilience and innovation. Everything we've planned thus far has worked out perfectly. We'd want to express our gratitude to everyone on staff for their tireless efforts during this trying year," he added.
Deutsche Post DHL Group spent an all-time high of EUR 4.1 billion (2021: EUR 3.9 billion) on its core business, digitization, and sustainability last year. The Group's fleet of electric cars is growing, with the number of e-vehicles already exceeding 29,000 throughout the world, an increase of almost 7 percent. New CO2-neutral delivery bases were established in Germany, and more funds were used to update the Express division's aircraft fleet. For the expanding e-commerce market, investments were also made in sorting capacity and e-fulfillment options. Investments in further automation technologies led to an improvement in efficiency.
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