Kuehne + Nagel posts strong first quarter results despite sliding container liftings

Kuehne + Nagel's twenty-foot equivalent unit volumes in the second quarter were down 4% year on year to 1.04 million TEU, as global container trade remained under pressure, the Switzerland-based logistics group has reported.

Second-quarter volumes registered an 11.3% decrease on the quarter amid a weaker-than-expected global container demand picture while many Asian cargo origins went into coronavirus-related lockdowns and congestion continued to cause logjams at many ports.

"The ongoing congestion at many international seaports continued to characterise the first quarter of 2022," the company said in an April 25 statement.

Despite this, the company's sea logistics division reported an EBIT of CHF621 million ($646 million), up 202% on the year, as global freight rates remained elevated.

The Platts Container Index – a weighted average of S&P Global Commodity Insights' key container assessments – was assessed April 25 at $5,962.57/FEU, up 35% on the year from $4,412.96/FEU. This marks the lowest assessment since June 14, 2021.

"Strong demand for capital and consumer goods continued in the first quarter of 2022," said CEO Detlef Trefzger . "In parallel, the already strained supply chain situation deteriorated further."