DHL 2011 Annual Report Download - page 126

Supply Chain market remains resilient
Due to the nature of the industry, the market for contract logistics stayed relatively
resilient throughout the most recent economic downturn, a development that appears
likely to continue in .
Demand for Supply Chain services is expected to see particularly robust growth in
emerging markets such as China, India, Brazil and Mexico.
At Williams Lea, we anticipate strong growth on the basis of our unique product
o ering and the increasing development of our broad  customer base, especially
within the Marketing Solutions business, which was enhanced by the acquisition of Tag.
Despite the uncertainty of the economic climate, our business model in combin-
ation with our extensive global reach and Growth  rough Excellence strategy ensure
that we shall continue to improve our existing business steadily and to grow new busi-
ness pro tably.
Revenue and earnings forecast
 e global economy is expected to continue to see moderate growth in  with an
increase of   to . .  e international trading volumes relevant for our business are
likely to exceed the projected growth of the global economy. We are therefore anticipat-
ing the corresponding revenue growth, particularly in the  divisions.
For  nancial year , we expect consolidated  to reach between . bil-
lion and . billion.  e  division is likely to contribute between . billion and
. billion to this  gure. Compared with the previous year, we expect an additional
improvement in overall earnings to approximately . billion in the  divisions. At
around –. billion, the Corporate Center / Other result should be on a par with the
previous year.
We plan to increase capital expenditure by approximately   to . billion. We
shall remain around this level in the following years. In line with our Group strategy,
we are targeting organic growth and anticipate only a few small acquisitions in , as
in the previous year. In , operating cash  ow will only be impacted to a very minor
extent by the restructuring measures resolved in .
Even in the face of an uncertain economic climate, particularly in the western
economies, we believe that the Group will experience good earnings momentum.  e
positive trend in our earnings that we are anticipating for  is likely to continue
into .  e cost reduction measures and growth programmes initiated in the 
division are expected to stabilise , even though letter volumes are likely to continue
their slow decline due to electronic substitution. In the  divisions, we expect ,
taking the earnings contribution in  as the baseline, to improve at an annual average
of   to   in the period from  to  as trading volumes continue to recover.
Consolidated net pro t before e ects from the Postbank transaction is expected to
continue to improve in  in line with our operating business.
Our  nance strategy calls for paying out   to   of net pro ts as dividends as
a general rule. At the Annual General Meeting on  May , we intend to propose
to the shareholders that a dividend per share of . be paid for  nancial year 
(previous year: .).
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