Broekman Logistics, provider of global supply chain solutions, reports strong sales growth for 2021. The gross sales of the company, with its headquarter in Rotterdam and with branches in India, the Czech Republic, Poland and Belgium, rose by more than 40% from 242 to 345 million euros. After a difficult year in 2020 Broekman achieved strong operational EBITDA results in two of its three divisions last year. Nevertheless, the overall result was negative due to restructuring costs and impairment of past investments. For 2022, a further improvement in turnover and a positive bottomline result is expected.
Further recovery in 2022
Rik Pek, CEO of Broekman Logistics: “We are pleased with this result. 2021 was a turbulent year for us. The pandemic caused disruption for the entire logistics industry, as it did for us. Nevertheless, we did well. In 2022, we expect further growth in sales and also a recovery in results. This is the effect of our changed strategy. Our focus is to provide solutions for specific end markets. This is highly appreciated by our existing clients and also resulted in new, long-term clients at multiple locations.”
Nicolas Parey, CFO of Broekman Logistics: “We are very satisfied with the EBITDA of the divisions
Forwarding & Shipping and Breakbulk Terminals. We had to improve the Warehousing division. The
recent sale of the former VLS activity in Antwerp will have a positive impact on the EBITDA in this
division. We are confident that the course that has been determined will lead to a bottom-line positive
result for the entire group in 2022. We have to thank our dedicated staff for all efforts in achieving that goal”
Growth in Forwarding & Shipping
The increase in turnover is mainly due to spectacular growth in the Forwarding & Shipping division.
Turnover almost doubled, while the contribution to EBITDA increased even more. The growth is largely a result of the market situation, but was strengthened by the fact that Broekman was able to continuously offer solutions to clients in a tight market. The very successful and continuously growing forwarding activities in India, Poland, the Netherlands, the Czech Republic and Belgium will be expanded in the coming year.
Stable contribution Breakbulk Terminals
The Breakbulk Terminals division saw its revenue rise by 6% in 2021 despite the termination of a contract with a major client. However, the EBITDA contribution of this division decreased slightly due to higher wages and material costs. The unique Breakbulk Terminals in Rotterdam will continue to serve long term customers in the short sea, metals, industrial equipment and renewable energy sectors.
Warehousing aims for recovery in 2022.
In the Warehousing and Distribution division, turnover increased by 4% last year, but there was underutilization of capacity and poor prices. Recently, Broekman Logistics announced that the bulk chemicals activities no longer fit within the redefined strategy. Therefore, the former VLS activity in Antwerp has been sold. This will have a positive impact on the result for 2022. Broekman Logistics has started building a 60,000 m2 site in Weert. With this new site the company doubled its capacity for final assembly and manufacturing activities. From the coming year, current and
new clients will be served from the existing warehouses in Rotterdam, Born and Venlo. This too will lead to further growth in turnover and results.
Operational excellence
Rik Pek: “In 2021, the new management team determined a new strategy and now we are seeing the first results of this in our figures. Broekman Logistics is back to doing what we have been doing for sixty years: operational excellence in everything we do with personal attention for our customers.” Sustainability: best in class In 2022, Broekman Logistics will continue to take important steps in the field of sustainability. Its ambition is to be the best in class compared to its competitors.
