Customer Structure and Sales

The customer base in the Container and Intermodal segments consists mainly of shipping companies and freight forwarders. The services provided in the Logistics segment are aimed at various customer groups, ranging from steel companies and power stations (in the field of bulk cargo handling) to international operators of ports and other logistics centres (in the field of port consulting). The Real Estate segment lets its office space and commercial premises to German and international customers from a variety of sectors, ranging from logistics and trading companies to media, consulting and advertising agencies, fashion labels, hotels and restaurants, and companies from the creative industries.

Globally operating container shipping companies account for the largest share of HHLA’s revenue. In ship handling, HHLA’s container terminals work with shipping companies on a neutral basis (multi-user principle) and offer a wide range of high-quality services. Due to the wave of consolidation in the container shipping segment, HHLA’s customer base changed radically in 2016. Significant changes included the merger of China Shipping Container Lines and COSCO Container Lines, CMA CGM’s acquisition of APL and the insolvency of Hanjin. In addition, Danish container shipping company Mærsk announced the takeover of Hamburg shipping company Hamburg Süd in December 2016. In the reporting year, HHLA’s customer base included all of the world’s top 15 container shipping companies. HHLA therefore believes it is well placed to also meet the future requirements of its clients in the shipping sector. see also Business Forecast

Sales activities in the Container segment are organised by means of key account management. In the Intermodal and Logistics segments, sales are generally managed locally by the individual companies. As far as possible, all activities follow the strategic approach of vertical integration, i.e. offering comprehensive transport and logistics services from a single source. The Real Estate segment’s sales team offers potential clients and tenants a wide range of services for properties in its two main districts – Hamburg’s Speicherstadt historical warehouse district and the northern banks of the river Elbe/fish market area – as well as for logistics properties in and around the port.

The share of revenue attributable to HHLA’s five most important customers again rose slightly to 57 % in the 2016 financial year (previous year: 55 %). The ten most important customers accounted for 82 % of revenue generated by HHLA’s container terminals in Hamburg – also up slightly on the prior-year figure of 80 % – while the figure for the 15 most important customers was unchanged at 94 %. HHLA has maintained commercial relationships with the majority of its most important customers for well over two decades.

Revenue Distribution Split by Customers

in the Container segment at the main hub Hamburg in 2016

Capacity Breakdown by Shipping Line Alliances

on Far East–Europe services as of 31 December 2016

Source: Alphaliner Monthly Monitor, January 2017

HHLA concludes framework contracts with its shipping customers that set out both the scope and remuneration of services. As the usage volume for these services is not fixed, there is no order backlog in the traditional sense for the specific services provided by HHLA.