DHL Ireland delivers bumper profits as revenues surge to €166.2m

Gordon Deegan

Pre-tax profits at the Irish arm of delivery firm DHL Express last year increased by 57 per cent to €8.04 million.

New accounts show that DHL Express (Ireland) Ltd continued to benefit from a Covid-19 bounce last year as its revenues increased by 16 per cent from €143.19 million to €166.26 million.

The directors stated full year revenues and profits "reflected the pandemic's positive impact on global supply chains".

They added that volatility and supply issues within the traditional air freight sector "has generated additional demand for international express services throughout the year, especially in the first half".

"This strong market demand has contributed to the success of the business in 2022," they said.

Directors also noted: "International e-commerce volumes have also continued at a high level, although there is evidence of a post pandemic normalisation of these volumes in the second half of the year."

The number of people by the business last year increased by 57, from 445 to 502, and staff costs increased by €3.2 million, rising from €26.64 million to €29.86 million.

The firm’s main activity is providing door-to-door pick-up and express delivery of time sensitive shipments to and from Ireland to more than 220 countries worldwide.

The directors stated the company "has increased profitability despite the challenges brought about by the war in Ukraine and the resultant economic impacts", adding that the increase in revenues to €166.3 million "represents a very strong recovery from 2021".

The firm's core international air express import and export service, which is the largest contributor to total turnover, was also the key driver of the growth generated during the year.

"Our international road, domestic and same day services have also performed strongly and have delivered improved results," the company said.

Owned by the German-based Deutsche Post, the firm last year recorded post-tax profits of €6.97 million after paying corporation tax of €1.065 million. At the end of December, shareholder funds totalled €30.5 million, while cash funds increased from €20.88 million to €24.6 million.

Last year's profits takes account of combined non-cash amortisation and depreciation costs of €1.2 million, while directors’ pay totalled €756,253, made up of €617,764 in emoluments, €104,929 in benefits under a long-term benefit scheme and €33,560 in pension contributions.

The profit also takes account of lease costs totalling €3.87 million.