Waberer's Q1 earnings fall on narrower margins

Transport

First-quarter net income of listed Hungarian hauler Waberer's International fell 36% year-on-year to EUR 1.7 million as margins narrowed, an earnings report published after the closing bell on Thursday shows, according to a report by state news wire MTI.

CEO Zsolt Barna said regulation-driven costs, such as an increase in the minimum wage and changes to tax rules, needed to be managed from the beginning of the year, but will only feed into the prices Waberer's charges "in the upcoming months", as the company indicated in its Q4 report.

Revenue climbed 12% to EUR 158.9 million. The direct cost of sales outpaced that increase, rising 17% to EUR 131.4 mln. Operating profit was practically flat at EUR 4.6 mln.

Barna said Waberer's capacity to generate operating profit could return to the average level in 2021 in the second half of 2022.

He said the war in Ukraine has had "no significant direct impact" on the group, but added that some of its Ukrainian drivers wanted to or had to return home. To ensure sufficient manpower, Waberer's has started recruiting overseas, on a pilot basis, as well as in neighboring countries, he added.

    
 

    He noted that Waberer's is providing logistics infrastructure to charities working to assist war refugees, and it is housing several Ukrainian families with small children.

ADVERTISEMENT

The New Age of Commerce is Approaching Analysis

The New Age of Commerce is Approaching

Horthy Statue to be Unveiled in Parliament Parliament

Horthy Statue to be Unveiled in Parliament

UPS Appoints Regional Director Appointments

UPS Appoints Regional Director

Completion of Metro Line M3 Renovation Delayed City

Completion of Metro Line M3 Renovation Delayed

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.