The international transport and logistics company Gebrüder Weiss remains positive about its growth despite the slip in revenue from €3 Billion in 2022 to €2.47 Billion in fiscal year 2023. The company said that despite this decline it remains above its growth trend seen between 2015 and 2020. 

The coronavirus-related effects of the two previous years did not persist in 2023, the company said. At €774 million, net revenue in the Air & Sea business area subsequently returned to levels seen in previous years. Given the higher freight rates shipping lines and airlines charged, Gebrüder Weiss generated €1.27 billion in this segment in the previous year.

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Revenue was also stable in the Land Transport and Logistics business areas at €1.45 billion, with declining energy and fuel prices.

“Geopolitical conflicts and weaker global economic output had a negative impact on revenue and transport volumes. Our stable financial situation meant that, in 2023, we were still able to implement a comprehensive investment program to expand both locations and services,” says Wolfram Senger-Weiss, CEO of Gebrüder Weiss. Many projects that had to be postponed as a result of COVID-19 could now be carried out in 2023.

Record investment

Throughout 2023, Gebrüder Weiss substantially expanded its network in the German and US markets, as well as South-Eastern Europe. This was achieved through a record investment volume of €187 million.

In Bavaria in particular, the logistics company consolidated its position through acquisitions and real estate purchases in Bayreuth, Konradsreuth and Nuremberg and the construction of a new freight forwarding terminal in Straubing. The US network was expanded to include locations in Miami and Laredo, Texas.

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Other investment projects included a second location in Bucharest, the enlargement of the logistics terminal in Hungary, and the construction of a new logistics warehouse in Graz and Reutte, Tyrol. As a result of the acquisitions, the number of employees at the 180 locations worldwide increased to 8,600 (2022: 8,400).

At the same time as it works to expand its network, Gebrüder Weiss has also been investing in the digitalization of supply chain management.

“2023 was a pivotal year in which we cemented our logistics leadership in nearshoring by opening multiple key locations and bringing in talented leaders to expand our depth of services,” says Mark McCullough, CEO of Gebrüder Weiss USA. “At the same time, our employees continued to receive accolades for the quality of their work, and I appreciate our entire teams’ ongoing efforts to foster a collaborative culture and surpass customer expectations.”

Outlook

Following the downturn in global trade and signs of a recession, Gebrüder Weiss expects a slight economic upturn in the second half of 2024, thereby translating into more positive revenue development fed by the success of individual national companies.

Senger-Weiss noted, “We are now benefiting from the fact that we have a global position and can swiftly respond to economic upturns in individual regions with the necessary local logistics services. At the same time, we see confirmation of our “best of both worlds” strategy. The last few years in particular have shown how important it is to invest in both the development of the operational network and the company’s digital expertise.”