Kuehne + Nagel (KNIN) Q2 2025 earnings summary

Executive summary

• Net turnover rose 8% year-over-year to CHF 12.5 billion, with organic growth of 8% and gross profit up 3.5% to CHF 4.4 billion.

• Market share gains achieved in both Sea and Air Logistics, with volume growth outpacing market averages despite a volatile environment.

• Underlying EBIT remained stable excluding negative currency effects, but EPS and earnings attributable to equity holders declined 5.5% due to FX headwinds.

• Free cash conversion improved year-over-year, reaching 52% in H1, above the historical average.

• Major acquisitions included IMC Logistics and TDN, expanding US and Spanish logistics networks.

Financial highlights

• EBIT declined 4% year-over-year to CHF 744 million, with EBITDA at CHF 1,193 million, and EPS down to CHF 4.48.

• Free cash flow improved to CHF 295 million in H1, with group free cash flow in Q2 at CHF 122 million and a cash conversion rate of 47%.

• Cash flow from operating activities increased to CHF 732 million from CHF 491 million year-over-year.

• Cash and cash equivalents at period end were CHF 581 million.

• Significant negative currency effects impacted results, with comprehensive income dropping to CHF 181 million due to FX differences.

Outlook and guidance

• Full-year recurring EBIT guidance updated to CHF 1.45–1.65 billion, reflecting a 5% drag from currency translation.

• Expect stable profitability in H2, with a stronger Q4 contribution and continued market share gains.

• Sensitivity to key currencies: +10% USD impacts EBIT by 6%, EUR by 3%, CNY by 1%.

• No significant seasonality or cyclical variations in operations.