Unilode Aviation Solutions, the global leader in outsourced Unit Load Device (ULD) management and repair solutions, and Air Canada, one of Unilode’s largest customers, have extended their ULD management agreement for another seven-year term.
Air Canada has been partnering with Unilode for the supply and management of aviation containers and pallets since 2012. Air Canada has chosen to continue with Unilode’s pooled ULD management model as this has proven to give them the highest flexibility for their operations in addition to cost-saving opportunities and pooling synergy benefits. The partnership will be enhanced with the roll-out of Unilode’s IATA Air Cargo Innovation Award-winning digitalization solution to Air Canada’s ULD fleet.
Mr. Tim Strauss, Air Canada Vice President, Cargo, said, “In the past seven years of our partnership with Unilode, Air Canada has grown significantly and Unilode’s continuous support and outstanding service for ULD management and repairs has enabled us to focus on our business and customers. In today’s challenging cargo environment airlines need flexibility, agility and consistency, and Unilode’s ULD management solutions help us deliver service excellence to our loyal customer base. Digitalization is at the heart of everything we do at Air Canada Cargo, and Unilode’s digital solution will become a seamless part of our operations and an enabler to provide innovative and value-added services to our customers.”
Mr. Benoît Dumont, Unilode CEO, said, “We are proud to have been Air Canada’s ULD management partner since 2012 during a significant period of growth for the airline and are happy with the trust given for a continuing long-standing partnership. Air Canada has been a supporter of Unilode’s digital solution from day one and has been very cooperative in testing the technology in the early stages of development. The roll-out of the digital solution throughout Air Canada’s network, as part of Unilode’s overall digitalization program, is progressing fast, and we look forward to providing Air Canada with the benefits of a digital ULD fleet for many years to come.”
Worldwide Flight Services (WFS) took just 72 hours to launch a new ‘emergency response’ cargo handling operation at Liege Airport following a request from the airport to help increase its capacity to accept more freighter flights carrying urgent medical equipment into Europe to tackle the coronavirus crisis across the continent.
WFS, the world’s largest air cargo handler, was able to complete its fastest-ever opening of a new station by transferring highly-trained, experienced cargo handling staff from its operation in Brussels, ensuring full compliance with the company’s first priority of operational safety and security. Essential equipment, including forklifts, slave masters, slave pallets and a truck dock, was also sourced from nearby WFS stations in both Belgium and the Netherlands.
The cargo handling terminal is located within a brand new but previously unoccupied airside warehouse and has been made available to WFS by Liege airport authority to support the sudden increase in demand for all-cargo operations. As one of Europe’s premier freighter hubs, Liege is acting as a central hub in the region for medical equipment and supplies arriving from China and other parts of the world.
Craig Smyth, CEO of WFS, praised the speed of response shown by the company’s cargo team in Europe which, he said, epitomises the commitment staff are showing across WFS’ global network to play an active role in the international relief effort. “To open an entire cargo handling operation, capable of meeting the very highest safety and security standards, in the space of just three days would be remarkable at any time but, right now, our ability to respond so quickly has even greater significance because it means Liege has the increased support and expertise it needs to meet the demand for all-cargo flights. Most importantly, having more freighter handling capability means medical equipment and supplies will be arriving in hospitals much faster to help both the medical teams and their patients. I am extremely proud of everyone involved in this project and of the WFS team globally who are making such a vital contribution to the speed and efficiency of medical supply chains at a time when the world needs these more than ever before.”
WFS expects to handle up to 14 freighter flights per week during this emergency response phase of operations, which is currently expected to continue until the end of May. WFS will also provide handling services for outbound cargo shipments from Liege.
“Liege Airport has played a vital role in the provisioning of personal protection equipment (PPE) since the outbreak of covid-19 in Europe. Additional aircraft movements and the huge growth in the volume of humanitarian goods led us to make this request to WFS for an immediate response to the market needs. This could only be done with the kind cooperation of AirBridgeCargo that has allowed their facility to be temporarily used for this operation. We are grateful to WFS for accepting this challenge, which means we are now able to welcome cargo carried onboard ad-hoc charters and short term freighter operations in the temporary facility made available to them,” said Bert Selis, VP Commercial Cargo & Logistics at Liege Airport.
WFS’ speed of response to the airport’s request was also helped by its existing preparations to commence a new cargo handling operation for AirBridgeCargo Airlines in Liege in the coming weeks.
The Antonov An-225 Mriya, the world’s largest plane, started participating in the coronavirus crisis effort. The giant completed its first commercial flight between Tianjin, China, and Warsaw, Poland, transporting medical equipment, including 7 million masks.
The 290-foot wingspan plane powered by six engines took off from its base in Kiev Hostomel Airport (GML), Ukraine, and made a refuel stopover in Almaty International Airport (ALA), Kazakhstan, on April 11, 2020. The next day, it continued its journey to Tianjin International Airport (TSN), China.
There, it took more than fifteen hours to fill the cargo hold of Mriya (UR-82060) with medical supplies, including 7 million masks, according to the Polish company KGHM, which chartered the aircraft. With a MTOW of 600 metric tons and a hold volume of 1,300 cubic meters, the unique plane is the perfect asset for such relief efforts.
With another stopover in Almaty, Mriya eventually landed in Warsaw Chopin Airport (WAW), Poland, on April 14, 2020.
That new mission was the first flight for the An-225 since the end of a two-year modernization campaign. The first test flight was completed as recently as March 25, 2020.
Antonov An-225 Mriya, generally considered the largest aircraft in the world, was spotted soaring the skies over Ukraine on March 25, 2020.
The Antonov An-225 Mriya joins the five smaller An-124-100 heavy transporters that are already operating humanitarian cargo flights between China and Europe to fight the epidemic.
Other European manufacturers dedicated resources to the ongoing effort: Airbus set up an air bridge between Europe and China to bring protective facemasks and other medical equipment to be spread among France, Germany, the United Kingdom, and Spain. To carry out this mission, the manufacturer allocated an A330-800, an A330 MRTT, an A400M and the Beluga fleet.
An Airbus A350-1000 test aircraft took off from Toulouse, France, on April 3, 2020, towards Tianjin, China, where it will collect protective masks that will be brought back to Europe. It is the third cargo flight operated by the manufacturer since the beginning of the coronavirus crisis.
Similarly, Dassault Aviation put two Falcon business jets at the disposal of the French government. They were tasked with transporting the medical personnel that accompanied patients from Paris to the less affected French hospitals.
In 2019, Bühler delivered good performance at Group level, increasing the EBIT margin to 7.6% (previous year: 7.1%). Turnover was stable at CHF 3.3 billion while order intake decreased by 4.6% to CHF 3.1 billion. The newly-formed Consumer Foods segment, which was created after the acquisition of the Haas Group, exceeded expectations and made a material contribution to the good Group results. Bühler increased its investments into innovation to a record high, and its financial position remained strong, improving equity ratio. “We are pleased with the 2019 achievements as they confirm our strategic set-up with the three businesses, which leveled out market volatility,” says CEO Stefan Scheiber. “With our broad portfolio, global position, and innovation strength, we are ready to tackle the challenges of an ongoing volatile global economy.”
The business development in the segments varied widely due to high volatility in some of Bühler’s key markets. While the food and feed markets showed continued demand – specifically, plant-based proteins for meat alternatives and malting experienced strong upswings – the automotive, consumer electronics, and architectural glass industries underwent downward trends. As a result, order intake for Grains & Food continued to grow at CHF 1.8 billion (+5.2 %), for Consumer Foods it declined slightly to CHF 775 million (-1.7 %), and Advanced Materials had to absorb a decline of 32.2 % in order intake to CHF 488 million. In regard to turnover, Grains & Food demonstrated robustness at CHF 1.8 billion (+0.9 %) and Consumer Foods was able to grow its turnover by 2.5% to CHF 774 million. At CHF 649 million, the turnover of Advanced Materials dropped by 8.0 %.
Improved profitability, strong financial position
By consistently managing resources and costs, Bühler improved its productivity and hence increased profitability. With a clear improvement of its profitability thanks to leveraging the Bühler organization, the new Consumer Foods segment compensated for the lowered profit contribution of Advanced Materials. “The new Consumer Foods segment clearly outperformed our expectations,” states Chief Financial Officer Mark Macus. With a Group tax rate of 19.5 % (previous year: 20.1 %) and a financial result of CHF 2.4 million (previous year: CHF 4.6 million), Bühler’s net profit grew by 7.2 % to CHF 202 million (previous year: CHF 188 million).
Bühler maintained a strong financial position in 2019. Net liquidity remained high at CHF 449 million (+0.3 %), and the equity ratio grew to 42.8% (previous year: 42.2 %). RONOA (return on net operating assets) remained on par with the previous year at 14%.
Stability as a result of a broad regional footprint
The broad regional footprint of Bühler with its operations in around 140 countries, nearly 100 service stations, and more than 30 manufacturing sites also supported the balancing of market variability. While Asia and Europe drove growth in the past year, in 2019 North America and Middle East & Africa took over this role. For the first time in years, Bühler recorded a standstill in China due to market saturation in the automotive segment and tariff conflicts. Regardless, the company’s geographic performance remains balanced: With regard to turnover, Asia makes up 34 %, Europe 30%, Americas 22 %, and Middle East & Africa 14 %. Structurally, the company was able to further improve the breadth of its portfolio in 2019. The long-cycle plant and project business now accounts for 70% of turnover, while the short-cycle Customer Services and Single Machine Business saw a total turnover of CHF 979 million, representing a 30 % share of total Group turnover.
Innovations for a better world
In 2019, Bühler elevated its innovation capabilities with the opening of its CUBIC innovation campus and new application centers, by increasing R&D spending to a record high of CHF 149 million, and developing new partnerships, such as with the Future Food Initiative and World Business Council for Sustainable Development. The company launched more than 20 new key solutions, with many in the area of digital applications. About 25% of the overall innovation spend focused on digital applications. With these innovations, Bühler aims to significantly decrease the ecological footprint of its industries: “We want to bring a 50% reduction in energy use, water consumption, and waste by 2025 in the value chains of our food, feed, and mobility customers,” says Chief Technology Officer Ian Roberts. To create impact in meeting these challenges, Bühler once again invited industry leaders, partners, customers, scientists, and start-ups to convene in Uzwil, Switzerland, and join the Bühler Networking Days 2019 event under the motto: “Creating tomorrow together”. The Networking Days 2019 participants represented companies that provide food for 4 billion people every day and contribute to the mobility of about 1 billion people. The attendees were in agreement that continuing the status quo is not an option for dealing with today’s global challenges, and that rapid action and broad scale collaboration is required to ensure that food and mobility industries become more sustainable.
Well positioned for the future with innovative solutions
The economic parameters for the current fiscal year are indicating ongoing – if not increasing – volatility and unpredictability. While Bühler does not expect a quick upturn of the automotive industry, prospects for consumer electronics and glass coating sectors look brighter. The food and feed markets seem to remain intact with some booming segments, such as plant-based proteins for meat alternatives. In all markets, the increasing ecological challenges demand new sustainable solutions, thereby creating new business opportunities. “By driving innovations in the food and feed markets – for example, in new applications in grain, cereal, and plant-protein processing and digital applications – as well as in applications for light metal applications, new battery-processing solutions, and coating applications, we are turning today’s challenges into tomorrow’s sustainable business opportunities,” says CEO Stefan Scheiber. In conjunction with its strategic set-up of the three segments and its global positioning, the company sees itself well positioned to benefit from these opportunities while managing risks. In 2020, Bühler plans for a stable and positive business development.