Denmark's DSV, the world's third-largest freight forwarder, has posted third-quarter operating profit slightly above forecasts and lifted its full-year earnings outlook despite increased global economic uncertainty.
DSV now expects earnings before interest and tax (EBIT) before special items for 2022 to be in the range of DKK 24.5 billion (€3.29 billion) to DKK 25.5 billion (€3.43 billion), up from an earlier estimate of DKK 23-25 billion.
The Danish firm reported EBIT before special items of DKK 6.5 billion (€870 million) for the third quarter, compared to an average of DKK 6.3 billion forecast by analysts in a company poll.
Nine-Month Performance
In the first nine months of the year, gross profit grew by 50%, while EBIT before special items grew 75%, the company said.
It also reported that adjusted free cash flow more than quadrupled compared to the same period last year.
'Market Share Gains'
"All three divisions continued the good performance with growth in earnings and market share gains across most of our business areas," chief executive Jens Bjorn Andersen said in a statement.
"The global economic uncertainty has increased, but we have great trust in our flexible business model which enables us to quickly adapt to changes," he said.
DSV has been one of the companies benefiting from sky-rocketing freight rates in the wake of the pandemic, but global demand is now seen falling as soaring inflation causes consumers to grow wary of spending.
Separately, DSV has announced a new share buyback programme of up to DKK 3 billion. The share buyback programme will be concluded no later than on 14 November, it said.
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