The DHL Group generated less revenue but more profit in the second quarter of 2025. While overall business declined somewhat, the company was able to reduce its costs and invest strategically in growth markets, leading to an increase in operating profit. This is according to a press release from the company on August 5.
Specifically, revenue decreased by 3.9 percent to 19.8 billion euros compared to the previous year. At the same time, operating profit (EBIT) increased by 5.7 percent to 1.4 billion euros. The EBIT margin improved from 6.5 to 7.2 percent. The company cites unfavorable exchange rates and weaker trade volumes as reasons for the revenue decline.
Stock Profit Increased
Free cash flow without acquisitions amounted to 329 million euros in the quarter, about 8.5 percent less than the previous year. Nevertheless, for the first half of the year, there is an increase of 7.9 percent to 1.1 billion euros. Quarterly
profit after minority interests amounted to 815 million euros—a 9.6 percent increase. Earnings per share rose from 0.64 to 0.72 euros.
Despite economic uncertainties, the DHL Group is adhering to its annual forecast. An operating profit of at least six billion euros and a free cash flow (excluding M&A) of around three billion euros are expected. This forecast does not take into account any possible further escalations in customs or trade policy.
CFO Melanie Kreis explained: "In the second quarter, trade conflicts and geopolitical tensions have increased, impacting global economic dynamics. We also expect continued global economic volatility in the second half of the year. In this situation, our focus on efficiency improvements and growth markets is paying off."
The group emphasizes that it has adjusted its capacities to current demand and implemented structural cost reductions. The goal is to further increase efficiency and seize opportunities in key markets.
In the second quarter,
the company invested 608 million euros in tangible assets—around four percent less than the previous year. According to DHL, investments are managed based on the economic situation. At the same time, they continue to invest in growth markets and higher productivity as part of the 2030 strategy.
Focus on the Middle East
A focus is on the Middle East: more than 500 million euros are set to flow there between 2024 and 2030—particularly to Saudi Arabia and the United Arab Emirates. Additionally, DHL acquired the specialist provider CRYOPDP, which specializes in courier services for clinical trials and biopharma. The aim is to expand the pharma logistics network. A new European hub is being established in Florstadt, Hesse.
Acquisitions and Partnerships in E-Commerce
In the e-commerce business, the US company IDS Fulfillment was acquired. Additionally, a partnership was formed with the UK provider Evri.
As part of the "Fit for Growth" program, the group
continues to work on its cost structure. At DHL Express, costs were reduced in the air freight network as well as in pick-up and delivery.
Developments in individual business areas:
- Express: Despite a decline in international express shipments, operating profit increased due to cost reductions and price adjustments.
- Global Forwarding, Freight: Air freight volumes increased slightly, while sea freight volumes declined. Economic weakness in European road freight also weighed down results.
- Supply Chain: Operating profit increased—also due to a positive special effect from the takeover of a joint venture in Saudi Arabia. Even without this effect, the result continued to grow.
- E-Commerce: In some markets, volume growth slowed. Operating profit declined, partly due to ongoing investments in network infrastructure. According to DHL, the long-term growth trend remains intact.
- Post & Paket Deutschland: Despite declining mail volumes and tariff burdens, results were stabilized—among other things, through price adjustments and cost reductions in the parcel
