FedEx is no doubt as happy as TNT with the latter\u2019s fourth-quarter and year-end financial reports, showing the company back in the black. The formerly struggling TNT managed a tidy \u20ac19 million profit in Q4 2015, compared with a \u20ac137 million loss in the same period in 2014.
\nFor the full year, revenue increased by 3.5 percent over 2014, to \u20ac6.9 billion, with operating income of \u20ac38 million, compared to an operating loss of \u20ac86 million in the previous year. The improved performance, however, wasn\u2019t enough deliver a profit, net loss was EUR50 million compared with a EUR195 million loss in the previous year.
\nRevenue from TNT\u2019s small and medium-sized clients grew by 5.1 percent, year-over-year, with its international Europe business giving the carrier the biggest boost, gaining momentum each quarter.
\nDuring the year, TNT invested \u20ac309 million to modernize its transport and IT infrastructure, compared to \u20ac190 million in the prior year. TNT launched new road and air connections, expanded network coverage and improved on-time delivery performance globally.
\nBy region, adjusted operating income for TNT\u2019s Europe segment was also up to \u20ac69 million for FY 2015, more than doubling the \u20ac30 million reported in 2014. In the Asia, Middle East and Africa region, operating income jumped to \u20ac64 million from 50 million in 2014. However domestic operating income still took a \u20ac14 million loss, more than the \u20ac8 million loss in 2014.
\nFor the fourth quarter, which CEO Tex Gunning said illustrated the acceleration of growth, revenue was \u20ac1.86 billion, up 4.1 percent over \u20ac1.79 billion in Q4 2014. Operating income rose from a \u20ac53 million loss in 2014 to positive territory of \u20ac57 million in 2015.
\n\u201cService has improved notably, as evidenced by record customer experience scores,\u201d Gunning said. \u201cWe are quickly making up for lost ground in operational excellence by accelerating capital expenditure and outsourcing our global business services and IT infrastructure. We expect further year-on-year improvements in adjusted operating income in full year 2016. Good progress has also been made toward closing of the FedEx offer to acquire TNT. Pre-integration planning is well on track and we are all looking forward to a bright future with FedEx.\u201d
\nSource: aircargoworld<\/p>\n","protected":false},"excerpt":{"rendered":"