IFCO Systems, the international logistics service provider that provides a number of pallet management services to the fresh produce industry, has reported that group revenue increased 1.2 per cent to US$169.9m (€125m) during the first quarter of 2009.
Revenues in the group's RPC management services grew 19.3 per cent to US$84.1m (€61.9m) compared with 2008, as a result of organic growth, the acquisition of Steco and accelerating growth in US RPC management services.
Conversely, Pallet Management Services' revenue dropped 11.9 per cent to US$85.7m (€63m), attributed to high pricing pressure from lower market demand and structural downsizing of the custom crating division.
Earnings before interest, taxation, depreciation and amortisation (EBITDA) jumped 8.5 per cent to US$24.2m (€17.8m) through the period, with net profit increasing by 80.8 per cent (or US$1m) to US$2.3m (€1.69m).
'As the financial crisis that unfolded in 2008 spreads to the worldwide economy, it is expected that the global economic environment will be very challenging in 2009,' the group said in a statement. 'While IFCO anticipates the economy in both the US and Europe, its two key markets, to decline overall in 2009, it is expected that these economies will begin to recover in 2010.
'It is expected that IFCO Systems' RPC Management Service business will not materially suffer from the worldwide economic downturn, as the grocery food industry, which is IFCO Systems' main customer base, will not be as strongly affected as other industries,' the group added.
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