External factors such as high inflation, uncertain economic development, geopolitical conflicts and labor shortages partly caused global supply chain bottlenecks and additional complexity for businesses in the year under review. High flexibility, standardized processes and targeted data analyses contributed to the management of our customers’ supply chains.
Supply Chain: further revenue and earnings growth
Revenue in the Supply Chain division was up by 4.3% to €17,693 million in the year under review. Excluding negative currency effects of €52 million, the increase was 4.6%. The EMEA and Americas regions were key contributors to the increase in revenue, while the Asia Pacific region recorded a slight fall, due primarily to negative currency effects and declining revenue in vaccine logistics. Revenue growth was bolstered by new business deals, contract extensions and continuing growth in e-commerce business. Revenue was up by 5.0% in the fourth quarter of 2024. Excluding positive currency effects of €13 million, the increase was 4.7% in the fourth quarter.
In the year under review, the Supply Chain division concluded additional contracts with a volume of €8,822 million. The Life Sciences & Healthcare, Consumer, Retail (including e-fulfilment solutions serving the growth in e-commerce) and Energy sectors accounted for an important part of this. The contract renewal rate remained at a high level.
EBIT in the Supply Chain division rose by 11.1% to €1,068 million in the year under review. Alongside revenue growth, productivity improvements from digitalization and standardization contributed to the improved earnings. The EBIT margin was 6.0% in the year under review. In the fourth quarter of 2024, EBIT in the Supply Chain division increased by 17.7% to €259 million.
