DSV Annual Report 2022
26
DSV Annual Report 2022
Financial and non-financial performance
= III
Net working capital (NWC) was DKK 5,849 million at the end of the year,
compared to DKK 10,675 million at year-end 2021. This was due to
a combination of lower freight volumes and lower freight rates in
the last part of 2022, but also process improvements, especially in
the GIL related business.
In 2022, return on invested capital was 29.1%, compared to 21.9%
in 2021. The increase was driven by the strong earnings growth.
Focus areas for 2023
After completing three large integrations in recent years, we have
achieved a strong market position. We have the network, skilled people
and digital tools to provide market-leading global services to our custom-
ers, and our clear target is to gain market share. Today, some companies
are taking a critical look at their supply chains. We see this as an oppor-
tunity, and we are ready to help them with production relocation, dual
sourcing strategies, lowering emissions and by creating more supply
chain visibility/predictability.
In 2022, we had good momentum within sectors like energy, healthcare
and semiconductors, and we will continue to focus on these sectors.
Furthermore, we will continue to develop our LCL network, express
services and our air charter network as well as adapting to future
changes in demand.
Supply chain disruptions and volatility will still be an issue in some parts
of the market in 2023, but the soft markets we saw in the second half of
2022 are likely to continue in the first part of 2023.
Due to the transport market slowdown and increasing competition,
we expect a decline in gross profit yields compared to the 2022 level,
and we will do our best to navigate the markets, adjust capacity and
protect our margins.
Revenue
(DKKm)
180,000
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
2018
2019
2020
2021
2022
Gross profit
(DKKm)
35,000
30,000
25,000
20,000
15,000
10,000
5,000
Gross profit
Conversion ratio
EBIT before special items
EBIT
Operating margin →
%
(DKKm)
%
60
25,000
21
18
50
20,000
40
15,000
30
10,000
20
5,000
10
15
12
9
6
3
0
0
0
2018
2019
2020
2021
2022
2018
2019
2020
2021
2022View entire presentation