Freight forwarder Nippon Express has reported first quarter revenues that were 2.0% higher than a year earlier. That was 2.8% better than analysts’ expectations according to Reuters. An improved performance in the fourth quarter in logistics support (revenues up 11.5% vs. a 3% decline in the prior quarter) likely explains the difference. Management guidance is also above expectations, calling for revenue growth of 3.5% vs. expectations for a 1.9% expansion.

As a group the freight forwarders (including DSV, Expeditors, K+N and Panalpina) have seen their revenues increase 6.0% on a year earlier in the first quarter in dollar terms. That was the fourth straight quarter of growth – including DSV’s UTi purchase – having outperformed expectations by 2.3% on average. Within the broader logistics sector that may still lag the 7.4% growth the container-lines may have seen based on Panjiva analysis of consensus estimates. That comes despite the forwarders’ exposure to the faster growing airfreight sector vs. seaborne, as outlined in Panjiva research of May 4.

Chart based on company financial reports, converted to dollars for DSV, K+N, Panalpina and Nippon Express. Right hand axis shows aggregate of the five including Expeditors International Source: Panjiva