Kuehne+Nagel Q3 Profit Jumps 53% on AI-Driven Air Freight Demand, Raises Full-Year Outlook

Kuehne+Nagel reported a 53% year-over-year rise in third-quarter pre-tax earnings to $527 million, beating analyst estimates, as AI-related air freight demand and cost controls drove revenue up 22% to $8.97 billion. The Swiss logistics group (SWX: KNIN) raised its full-year EBIT outlook to $1.88 billion at the midpoint. Air cargo volume grew 10% year over year, outpacing overall market growth of about 6%, with 60% to 70% of the outperformance attributed to market share gains. Air logistics revenue rose 38% to $2.88 billion, and segment EBIT climbed 84%. Demand from cloud infrastructure and semiconductor customers was a key driver, though lightweight e-commerce volumes fell significantly amid new EU customs fees and U.S. tariffs on low-value goods. CEO Stefan Paul said European automaker volumes have also declined in recent years. The ocean freight unit returned to growth, with EBIT up 55% and volumes up 5% year over year, driven by market share gains on Asia-to-U.S. and transatlantic lanes. K+N expects ocean yields to hold stable at elevated levels through the first quarter of 2027.