SUPPLY CHAIN MANAGEMENT
COMPANY NEWS
2017, 28 AUG
RZD Logistics almost doubled the volume of transit shipping across Europe-China-Europe in the first six months of 2017

JSC RZD Logistics, the largest multimodal logistics operator in the CIS and Baltic countries, in cooperation with its subsidiary company Far East Land Bridge (FELB) in the course of the first six months of 2017 essentially increased the volume of container shipping in comparison to the same period of the last year – the volume increased by 1,8 and amounted to 63,2 thsd TEU. For the most part (55, 9 thsd TEU) these were transit shipments across Europe-China-Europe.  

In the area of container transit RZD Logistics works on all three border points: Dostyk (across Kazakhstan), Zabaikalsk (across Russia) and Naushki (across Mongolia). The volume of import from China to Russia amounted to 5,2 thsd TEU, of internal shipments – to 1,4 thsd TEU, of export – to 0,7 thsd TEU. The most popular routes in the covered period were Brest-Zabaikalsk, Chungking-Duisburg, Chengdu-Lodz, Suzhou-Warsaw, Duisburg-Chungking and Changsha-Warsaw.

In general in the first six months of 2017 RZD Logistics processed 30,5 mln tons of cargo, which exceeds the last year rate by 5%. The company’s revenue in the covered period increased by 37% and amounted to 15,1 bilion rubles. RZD Logistics increased all its measures of effectiveness. In the first six months of 2017 the record volume of shipment was achieved in the framework of logistics outsourcing  and freight logistics – in comparison to 2016 it increased by 2,2 – up to 8,3 mln tons.

“RZD Express” service on transportation of LCL/LTL cargo has also been actively growing – the volume of shipment amounted to 140 000 tons, which exceeds the last year rate by 85%. The number of processed orders grew by 15% - up to 13 000.

“We have been constantly expanding our services’ portfolio and optimizing the quality of clients’ and partners’ base with the emphasis on individual approach and improvement of our products. Despite high competition within our business segments, RZD Logistics is moving according to its path and offers the market complex services on supply chain management. The first six month’s results demonstrate that this path goes in the right way”, – commented the CEO of RZD Logistics Viacheslav Valentik.

Main financial results, mln rubles

First half of 2016

First half of 2017

Dynamics

Revenue, including:

11 036

15 138

+37%

Freight logistics

3047

5340

+75%

Container transit

1417

3219

+127%

RZD Express

338

547

+62%

Logistics outsourcing

807

898

+11%

Operational profit

1031

1375

+33%