Growth in trade between Asia and Europe was the main driver for DHL's year-on-year increase in air cargo volume during the first quarter of this year, despite declines in air cargo revenue and profit.

DHL reported a 5.1% year-on-year increase in air cargo volume for the first quarter, reaching 435,000 tonnes.

The Global Forwarding, Freight (GFF) division saw its air cargo revenue fall by 16.2% to €1.3 billion, with gross profit also declining by 25.1%, as lower freight rates put pressure on performance.

Revenue for the Global Forwarding, Freight business division decreased by 19.8% to €3.2 billion. The division's gross profit declined by 17.6%.

Overall revenue for the GFF division fell by 15.8% year-on-year to €4.5 billion in the first quarter, "due to lower freight rates."

Discussing the division's performance, DHL further stated: "The decline in Global Forwarding, Freight revenue was primarily attributable to lower freight rates. Compared to the weak performance in the same period last year, the division's air and ocean freight volumes saw growth again. Air cargo volume increased by 5.1%, mainly driven by trade lanes between Asia and Europe."

For the Group overall, Q1 revenue reached €20.3 billion, down 3.2% year-on-year. Earnings Before Interest and Taxes (EBIT) were €1.3 billion, a decrease of 19.8% compared to the prior-year period. The Group noted that "the global economy showed no significant improvement in the first quarter of 2024."

DHL CEO Tobias Meyer said: "We are in an unusually long phase of low momentum in global trade. In this environment, we continue to focus on consistent capacity and cost management. However, we also see further growth potential."

"The demand for warehouse and e-commerce solutions remains high, and our customers are becoming increasingly aware of sustainable logistics – we can clearly see the demand for GoGreen Plus. With our portfolio, we will benefit from an upturn in global trade. Despite all the challenges, 2024 is a year of opportunities."

The Q1 results follow the full year 2023, where air cargo revenue fell 42.2% to €6 billion, due to declines in both volume and rates.