Continuous expansion for logistics Waberer’s Holding

CONTINUOUS EXPANSION FOR LOGISTICS LEADER

Hungarian transport logistics group Waberer’s Holding Zrt is the market-leading logistics service provider in Hungary and central eastern Europe. The companies within the group provide a global range of logistics services and it constantly expands its fleet to meet increasing demands. Industry Europe looks at its activities.

Road transportation is the simplest and most secure form of logistics; however, without flexibility and efficiency a company cannot succeed in this industry. In order to provide more flexible customer service and to improve operational efficiency, in 2010, Waberer’s changed its company structure and shared out the majority of its fleet of 2300 vehicles to smaller individual enterprises holding 60–100 trucks each.

As the company reacts quickly to changing market needs, the most advanced information technology systems and tools have also been implemented to run the new type of operations efficiently. Whilst the mediumsized companies operate as individual enterprises, they are still backed up by the holding’s incredible financial power and provided with the support of its international business network system.

The year 2012 marked another chance for Waberer’s when four companies within the Group – Waberer’s International Pte. Co., Delta Sped Ltd, Interszerviz Ltd and Inforatio Ltd – merged with Waberer’s Holding, thereby becoming Waberer’s International Pte. Co.

In 2013, the Hungarian Competition Authority approved the merger of Waberer’s Logistics Ltd and Szemerey Transport Inc. The companies will continue to operate under a common ownership structure led by a unified management. They are respectively Hungary’s leading logistics enterprise and the market leader in domestic refrigerated freight and distribution. Their combined logistics fleet, now under unified management, is able to satisfy all logistical needs related to refrigerated, fresh and dry goods to the highest standards.

Company history

Established in 1948, Waberer’s predecessor Volan was previously a state-owned road cargo transportation company which was privatised in 1994 by entrepreneur György Wáberer and his associates. As a result of the turnaround strategy implemented by the new management in 1994, the company established new foundations and began a series of acquisitions to extend its product and service portfolio. In 2001 the company partnered with MAV (Hungarian State Railways) and began to develop the BILK (Budapest Intermodal Logistics Centre), central Europe’s largest forwarding and logistics centre. As a result of the acquisition of Hungarocamion Co. in 2002, the company became a market leader in Hungary and gained a significant presence in eastern and central Europe. In 2003 the company was once again restructured, changing its name to Waberer’s and introducing its unique customer service system, Waberer’s Optimum Solution.

In 2005 the company began its regional expansion by establishing subsidiaries in Slovakia, Poland, Romania and Spain. Today Waberer’s Holding is the sixth largest road haulage company in Europe, offering a wide

portfolio which includes national and international transportation, international forwarding, logistics, customs services, property development and vehicle repair.

Sustaining growth

Waberer’s mid-term plan is to double its sales revenues by organic growth and through acquisitions. The company aims to achieve organic growth by continuously improving efficiency and by enhancing the exploitation of all markets. To this end, it has been taking over medium-sized transportation companies in countries including the Czech Republic, Slovakia, Romania and Poland.

The year 2012 was a successful one for Waberer’s, with revenue reaching €377.5 million. At the end of 2012 it upgraded its fleet with the purchase of 700 new trucks and 500 new trailers, and expanded its size by 130 vehicles. Furthermore, the acquisition of internationally successful Hungarian-owned Transport Hungaria Ltd was completed and it purchased the majority share of Szemerey Transport Inc., a homeland market leader in refrigerated freight. Its business plan for the next year will be more ambitious still.

Another priority for the company will be the continued expansion of its fleet capacities. Its main supplier is Volvo, but many vehicles are provided by the two other leading vehicle manufacturers, DAF and MAN. More than 90 per cent of the multifunctional trailers are supplied by Schmitz, whilst the rest are manufactured by Krone and Schwarzmüller.

Reviewing its business on a regular basis and being prepared to make tough decisions have ensured that Waberer’s has not only survived the recession but has actually increased its profits and provided new jobs. Excellent service and an effective communication plan have allowed it to increase prices, whilst other companies have ceased trading or struggled to meet their costs. n