One of Europe's leading road transport and logistics operators, French group Norbert Dentressangle, this week reported its results for the nine months to September 30.

Key figures, including the integration of UK company Christian Salvesen, included:

    * Group consolidated revenue = €2.38bn (+81% on the comparable period in 2007).
    * Transport consolidated revenue = €1.36bn (+63%).
    * Logistics consolidated revenue = €1.02bn (+113%).

Organic revenue growth had been consistent across the group, stated Norbert Dentressangle, with a 6.5% increase (+6.9% at constant exchange rates) for the historic consolidation scope and a 6.4% increase (at constant exchange rates) for Christian Salvesen businesses.
Sales for the logistics division had grown by 113% and accounted for 43% of total revenue. "Sales maintained a strong growth momentum in the historic consolidation scope (+7.9%) and started, as from the third quarter, to show the effects of the turnaround of the former Christian Salvesen business units in France," stated Norbert Dentressangle.

Sales for the transport division had grown by 63% overall and by 5.7% in the historic consolidation scope. "The slower pace of revenue growth observed since June 30 was attributable to the group's decision to reduce its vehicle fleet ahead of the expected slowdown in economic activity. This trend was further accentuated by the decrease in fuel costs."

Norbert Dentressangle said that in accordance with the group's strategy which focused on operating leased warehouses, four logistics sites were divested in the third quarter, generating approximately €20m in net proceeds before tax. "The sale, which aims to enable the group to achieve higher flexibility and leaner operations, also allowed it to reduce net debt by €45m, thus leading to a 12% reduction in the estimated debt-to-equity ratio at September 30, 2008."

Norbert Dentressangle said it expected the 2008 full-year performance to be hampered by the deterioration in the business environment in the final quarter (Q4) of 2008. "The international situation will slow efforts to improve the performance of the former Christian Salvesen business units and, in particular, the turnaround of the UK transport business which is currently undergoing restructuring."

At present, stated Norbert Dentressangle, it expected full-year like-for-like revenue to increase 5% on 2007 proforma revenue (€3.083bn) and recurrent operating income to be slightly lower than the 2007 proforma figure of €91m.

Source Transport Intelligence