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 Sea and Air Logistics, with volume growth outpacing market rates despite a challenging environment and currency headwinds.

• Underlying EBIT remained stable, but overall EBIT declined 4.4% to CHF 744 million due to FX headwinds; EPS contracted 5.5%.

• Free cash conversion improved to 52% in H1, above historical average, and two CHF 200 million bonds were successfully launched.

• Major acquisitions included IMC Logistics (CHF 510 million) and TDN (CHF 56 million), expanding US and Spanish logistics networks.

Financial highlights

• Sea Logistics volume grew 4% YoY in Q2, exceeding market growth of 1%; EBIT for Sea Logistics was CHF 368 million for H1.

• Air Logistics volume up 9% YoY in Q2, versus market growth of 4-5%; EBIT for Air Logistics was CHF 230 million for H1.

• Road Logistics EBIT in Q2 was CHF 28 million, down 17% YoY excluding currency effects; net turnover grew 1% YoY.

• Contract Logistics delivered record Q2 EBIT of CHF 58 million (excluding a CHF 16 million provision), up 17% YoY excluding currency effects.

• Free cash flow in Q2 was CHF 122 million, with a cash conversion rate of 47% (vs. 37% last year).

Outlook and guidance

• Full-year 2025 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.

• Underlying guidance unchanged, with economic growth assumptions and ongoing global uncertainty.

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

• Market share gains expected to continue, with volume growth in Sea and Air Logistics anticipated to remain above market rates.