EQS-News: HHLA strengthens position as European network logistics provider in dynamic market environment

Hamburg, 26 March 2025

_{Publication of figures for the 2024 financial year}

HHLA strengthens position as European network logistics provider in dynamic market environment

• CEO, Angela Titzrath: “In a challenging market environment, HHLA has proven its resilience and flexibility, thus strengthening its position as a European network logistics provider.”
• Growth in revenue and earnings despite global challenges
• Dividend proposal of € 0.16 per dividend-entitled class A share

In the 2024 financial year, Hamburger Hafen und Logistik AG (HHLA) recorded a positive development in revenue and earnings despite global challenges such as the ongoing weakness of the German economy, the military conflict in the Middle East and the war in Ukraine. Group revenue rose by 10.5 percent to € 1,598.3 million (previous year: € 1,446.8 million). The Group operating result (EBIT) increased by 22.7 percent to € 134.3 million, thus falling within the expected range of € 125 million to € 145 million (previous year: € 109.4 million). Consolidated net income after minority interests rose to € 32.5 million (previous year: € 20.0 million).

Angela Titzrath, HHLA’s Chief Executive Officer: “In uncertain times, it is crucial to strategically remain on track. That’s why we consistently worked on implementing our goals over the past year – focusing on two core areas: we further strengthened our European network, particularly by increasing the number of rail connections. The second focus was on the further modernisation and automation of our container terminals in Hamburg. Based on the growth of revenue and earnings, we are now able to look forward with optimism to 2025.”

Port Logistics subgroup: performance 2024

In the publicly listed Port Logistics subgroup, revenue increased by 10.8 percent to € 1,561.7 million (previous year: € 1,408.9 million). The operating result (EBIT) increased by 26.8 percent year-on-year to € 117.8 million (previous year: € 92.9 million), placing it within the most recent forecast, which had assumed earnings within a range between € 110 million and € 130 million. Profit after tax and minority interests came to € 23.0 million (previous year: € 8.7 million). In addition to the notable rise in transport volume in the Intermodal segment, the year-on-year increase in storage charges due to longer dwell times for containers handled by the Hamburg terminals also had a positive effect on revenue and earnings in the financial year. Earnings per share thus came to € 0.32 (previous year: € 0.12).

In the Container segment, container handling at HHLA’s seaport terminals increased year-on-year by 0.9 percent to 5,970 thousand standard containers (TEU) (previous year: 5,917 thousand TEU). At 5,686 thousand TEU, handling volume at the Hamburg container terminals was at the prior-year level (previous year: 5,687 thousand TEU). While handling volumes on the routes to and from the Far East and Middle East declined, there was partially strong volume growth for the North and South America shipping regions, particularly for traffic with the United States. Cargo volume also increased for other European seaports, particularly with Belgium and Greece. This was due to temporary route adjustments caused by the military conflict in the Red Sea.

The volume of feeder traffic showed moderate year-on-year growth. There was a particularly strong rise in container throughput from within Germany, as well as from Poland, Latvia and the United Kingdom. Meanwhile, cargo volumes from Finland and Denmark declined. The proportion of seaborne handling by feeders increased to 19.4 percent (previous year: 18.6 percent).

The international container terminals reported a marked rise in handling volume of 23.1 percent to 284 thousand TEU (previous year: 231 thousand TEU). This was due to strong volume growth at the HHLA TK Estonia multifunctional terminal and the resumption of seaborne handling at Container Terminal Odessa (CTO) in Ukraine in the third quarter of 2024.This more than offset the reductions at PLT Italy in Trieste caused by ships being rerouted or cancelled as a consequence of the military conflict in the Red Sea.

Segment revenue rose significantly by 9.1 percent to € 773.3 million (previous year: € 708.8 million). This was due to the longer dwell times for containers handled at the Hamburg terminals, which continued to have a positive impact on storage fees, as well as growth in volume at the international container terminals. The operating result (EBIT) rose by 66.6 percent to € 78.7 million in the reporting period (previous year: € 47.2 million), mainly due to the improved revenue trend. The EBIT margin increased by 3.5 percentage points to 10.2 percent (previous year: 6.7 percent).

In the Intermodal segment, container transport overall increased by 11.6 percent to 1,787 thousand TEU (previous year: 1,602 thousand TEU). Rail transport increased by 13.2 percent to 1,545 thousand TEU (previous year: 1,365 thousand TEU). The strong growth in the German-speaking countries more than offset the decline in traffic with Adriatic seaports and the sluggish growth in Polish traffic. The acquisition of a majority shareholding in Roland Spedition GmbH in the second quarter also contributed to the growth. Road transport rose slightly by 2.2 percent to 242 thousand TEU (previous year: 236 thousand TEU).

With year-on-year growth of 14.6 percent to € 711.3 million (previous year: 620.5 million), revenue growth was stronger than the increase in transport volumes. In addition to price adjustments, this was mainly due to the further increase in rail’s share of HHLA’s total intermodal transport volumes from 85.2 percent to 86.5 percent.

The operating result (EBIT) rose by 14.8 percent to € 83.7 million in the reporting period (previous year: € 72.9 million). The EBIT margin of 11.8 percent was on a par with the previous year (previous year: 11.7 percent). The main reason for the positive EBIT trend was the increase in transport volumes. There was an opposing effect from increased union wage rates and the expansion of operations in rail transport.

Real Estate subgroup: performance 2024

HHLA’s properties in the Speicherstadt historical warehouse district and the fish market area in Hamburg reported stable growth in 2024 with almost full occupancy in both districts.

Revenue fell slightly by 0.8 percent in the reporting period to € 46.1 million (previous year: € 46.5 million). Declining income in the fish market area following the demolition of cold-storage and warehouse facilities in preparation for a project could not be fully offset by revenue growth in the Speicherstadt historical warehouse district.

The operating result (EBIT) came in at the levels of the previous year at € 16.1 million (previous year: € 16.1 million). Expenses resulting from the successful reletting of space in the Speicherstadt historical warehouse district and preparation costs for a major project in the fish market area had a negative impact on earnings. However, this was largely offset by lower maintenance costs as well as lower depreciation and amortisation.

Outlook for 2025

For the current financial year, a strong year-on-year increase is expected for both container throughput and container transport in the Port Logistics subgroup. Strong year-on-year growth is also expected for revenue as compared with 2024. Moreover, the Port Logistics subgroup is targeting EBIT of between € 180 million and € 220 million. All segments are expected to achieve strong growth.

For the Real Estate subgroup, revenue is expected to increase slightly compared with the previous year. However, a strong decrease is expected for the operating result (EBIT).

At Group level, HHLA expects strong revenue growth and an operating result (EBIT) in the range of € 195 million to € 235 million.

At Group level, capital expenditure is expected to be in the range of € 460 million to € 510 million in 2025. The Port Logistics subgroup will account for € 420 million to € 470 million of this amount.

HHLA remains committed to its results-oriented dividend policy, which aims to pay out between 50 percent and 70 percent of annual net profit after minority interests in the form of dividends.

Dividend proposal for 2024

At this year’s Annual General Meeting, the Executive Board and Supervisory Board will propose a dividend of € 0.16 per dividend-entitled class A share. With this, HHLA is upholding its dividend policy.

Key figures 2024

Key figures 10–12 | 2024