Kuehne & Nagel Q2 profit growth slows

[FRANKFURT] Kuehne & Nagel International AG, the world's biggest sea-freight forwarder, was unable to benefit fully from growing cargo volume as the rising Swiss franc held back second-quarter profit growth.

Earnings before interest and taxes increased 4.6 per cent to 206 million Swiss francs (S$286.7 million), Schindellegi, Switzerland-based Kuehne & Nagel, said in a statement yesterday. The average analyst estimate compiled by Bloomberg was for Ebit of 202 million francs.

Europe's economic activity has lagged behind other regions in the aftermath of the longest recession since the euro was introduced, weighing on shipping and transport companies. While profit growth slowed to less than half the advance in the first quarter, Kuehne & Nagel is more optimistic for volume gains in its sea and air-freight markets for the remainder of the year.