GEFCO generated a turnover of more than EUR 4.2 billion in 2016, representing an increase of 1.3 percent compared to the same period in 2015. This growth is driven by the mix of a good performance of the European car market with a strong focus on strategic customers.
EBITDA amounted to EUR 172.8 million, representing an increase of 32.1 percent compared to 2015. This significant improvement in profitability is the result of the group’s proactive policy to optimise purchases and continuing to reduce its fixed costs, reads a press release of the company.
The key factors in this growth are centred on developments in Gefco’s business strategy, focusing on flexibility in costs and operational excellence, as well as an enhanced investment policy. These axes, coupled with the involvement and the performance of the commercial teams, strengthened the group’s position as one of the top ten European logistics integrators and its global leadership in finished vehicles logistics (FVL).
The 2016 group results reflect the relevance of its diversification strategy, as well as its implementation. New agreements signed in 2016 with Renault Nissan, VWG Audi, TOYOTA, BMW and Talgo illustrate once again the group’s ability to offer innovative, competitive and efficient logistics solutions for their respective industries.
The EUR 8 billion exclusive agreement signed with PSA Group to support its global strategic ambition by optimising its global supply chain for over five years, is a new sign of trust for Gefco and the performance of its services. This agreement concerns the development and implementation of global logistics and transport solutions for the three PSA Group brands: Peugeot, Citroën and DS. It includes the management and optimisation of the entire supply chain, from sourcing components for production and assembly plants to distributing finished vehicles and spare parts.
In line with its diversification strategy, Gefco signed new contracts with customers involved in various sectors such as High Tech and Home Equipment (Whirlpool, TPV Technology), and Marketline Life Science & Healthcare (Zentiva, Artsen Zonder Grenzen (Médecins Sans Frontières), Netherlands, CEVA Santé Animale Romania).
In 2016, the integration of IJS Global, a Dutch company specialised in freight forwarding, enhanced Gefco’s presence worldwide to 300 locations as well as its offer in the world’s largest freight forwarding areas in China, South Asia and Australia, in addition to the USA.
In a rather positive economic environment although still with some uncertainties ahead, the group is working to achieve growth and performance in 2017, in particular through:
- Its ability to meet customer requirements while offering operational excellence.
- Its costs effective management of costs combined with a flexible business model and global network, to cover its industrial customers’ needs.
Luc Nadal, Chairman of the Management Board of Gefco Group, concluded: “In 2017, our aim is to extend our Finished Vehicles Logistics business while continuing to develop the Overland, Warehousing and Reusable Packaging, Freight Forwarding and 4PL expertise by testing new technologies and concluding new partnerships. In this context, Gefco steps in and develops e-commerce activity in the area of complex products and inbound logistics”.