Company Reports

KLN Logistics Group, or KLN’s, international freight forwarding, or IFF, segment accounted for 60% of consolidated segment profit in 2025 and will remain a key driver of earnings. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea. Nonetheless, we expect that rising international trade restrictions imposed by the US government will dampen trade in the long run, and the gradual easing of capacity constraints due to eventual normalization of shipping in the Red Sea could reduce freight rates.

KLN Logistics Group's international freight forwarding segment accounted for 60% of consolidated segment profit in 2025 and will remain a key driver of earnings. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea. Nonetheless, we expect that rising international trade restrictions imposed by the US government will dampen trade in the long run, and the gradual easing of capacity constraints due to eventual normalization of shipping in the Red Sea could reduce freight rates.

KLN Logistics' revenue increased 10% year over year in the first half, but core operating profit declined 8%, with core EBIT margin contracting to 4.3% from 5.2% a year earlier.

KLN Logistics Group, or KLN’s, international freight forwarding, or IFF, segment accounted for 60% of consolidated segment profit in 2025 and will remain a key driver of earnings. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea. Nonetheless, we expect that rising international trade restrictions imposed by the US government will dampen trade in the long run, and the gradual easing of capacity constraints due to eventual normalization of shipping in the Red Sea could reduce freight rates.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

The National Retail Federation and Hackett Associates expect US import volumes to increase 2% year on year in the first half due to inventory front-loading. The US' 10% global tariff expired, while tariffs of 10%-12.5% on 60 economies were introduced in July, with China at the highest rate.

KLN Logistics expects slightly higher margins in the near term due to the US-Iran War, but management refrained from commenting on longer-term impacts given heightened uncertainty. Volumes picked up after US tariffs on global import were cut to 10% in February—these tariffs expire in July.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

KLN, a subsidiary of SF Holding, contributes the majority of SF’s supply chain and international business revenue. From July to November 2025, SF's supply chain and international business revenue decreased by 1% year over year.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

KLN Logistics' interim profit was driven by a 22% year-on-year jump in its international freight forwarding, or IFF, segment earnings. KLN expects the year-on-year margin increase in IFF and its integrated logistics segment, or IL, to continue in the second half.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

Chinese exports grew 5.9% year over year in first-half 2025. The US extended a trade truce with China by 90 days, maintaining current 30% tariffs on China until Nov. 10. KLN, the largest nonvessel operating carrier on the transpacific route, is well placed to benefit from improving trade relations.

Kerry Logistics Network’s revenue and EBIT before fair value change of investment properties, or recurring EBIT, for 2024 grew 23% and 24% year on year, respectively. KLN expects to outperform international freight forwarding peers with over 6% EBIT growth for 2025.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

The Israel-Hamas ceasefire brought hope for the resumption of Red Sea shipping. Meanwhile, President Trump intends to raise tariffs on the EU, Canada, Mexico, and China, which could reduce global trade volume.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.

Kerry Logistics Network’s, or KLN’s, international freight forwarding, or IFF, segment accounted for 52% of consolidated segment profit in the first half of 2024. We think it is seeing stabilizing business conditions, with freight rates having started to rise in the fourth quarter of 2023. Demand for international cargo capacity has increased, as shipping vessels took longer routes to avoid Houthi attacks in the Red Sea since then. Nonetheless, we expect that rising international trade restrictions imposed by the US government may dampen trade, and the gradual easing of capacity constraints could reduce freight rates.