Ceva Logistics says its strategy of focusing on specific sectors is paying off despite seeing its turnover fall €7.1m in the first quarter of 2007 to €864m (£585m). The former TNT Logistics also posted a €14.9m (£10.1m) loss for the first three months of 2007, compared with a €7.7m (£5.2m) loss in the same period last year. However, operating income rose by €500,000 to €15.5m (£10.5m).
A fall in turnover is blamed on its North American business, although this was largely offset by strong
performances elsewhere. It recently announced that it will purchase Eagle Global Logistics for $2bn. This will be financed by a combination of debt, with around $200m of cash equity from Ceva's balance sheet and a further $100m cash equity from its parent company Apollo. It anticipates completion of the purchase by the end of the summer.
Reed Business Information Limited.©2008
