DSV shares surge on third-quarter revenue beat, share buyback launch

DSV shares experienced a significant surge of nearly 8% during early Copenhagen trading on Wednesday, following the company's presentation of better-than-anticipated third-quarter revenue and the unveiling of a 1.5 billion crown share buyback program, marking its first such initiative since acquiring Schenker. The third-quarter revenue reached 80.7 billion Danish crowns, surpassing analysts' estimates of 74.7 billion crowns and representing a 12% increase compared to the previous year.

Adjusted net income also exceeded expectations, amounting to 4.07 billion crowns, which outpaced the consensus estimate of 3.85 billion. However, adjusted EBIT of 6.61 billion crowns fell short of the anticipated 6.66 billion. The Denmark-based transport and logistics firm adjusted its fiscal 2026 EBIT guidance downward to a range of 24 billion to 25 billion crowns, from the earlier range of 23.5 billion to 25.5 billion.

Despite this adjustment, the midpoint of 24.5 billion remained higher than the analyst consensus of 24.41 billion. The company also reduced its projected special items, related to integration costs, from 6.5 billion to 5.5 billion crowns. Growth in earnings was primarily attributed to strong performances in the Air & Sea and Contract Logistics divisions, bolstered by cost synergies stemming from the Schenker integration.

Conversely, the Road division faced a decline in earnings due to negative volume growth and reduced productivity, caused by operational challenges arising from the Schenker integration. Additionally, property disposals positively impacted EBIT for all divisions. DSV anticipates a tax rate of approximately 28% for 2026, taking into account the ongoing Schenker integration.