Financial position

Balance sheet analysis

Compared with year-end 2022, the HHLA Group’s balance sheet total increased by a total of € 123.6 million to € 2,894.5 million as of 30 June 2023 (31 December 2022: € 2,770.9 million).

On the assets side of the balance sheet, non-current assets rose by € 91.6 million to € 2,369.9 million (31 December 2022: € 2,278.4 million). The change was mainly due to investments made in property, plant and equipment as well as in intangible assets. Current assets increased by € 32.0 million to € 524.5 million (31 December 2022: € 492.5 million). The change was mainly due to an increase in cash, cash equivalents and receivables from related parties. A decrease in trade receivables had an opposing effect.

On the liabilities side, equity rose by € 7.4 million to € 880.7 million compared to the year-end figure for 2022 (31 December 2022: € 873.3 million). The increase was mainly due to the sale of a non-controlling interest in a fully consolidated company as well as to the positive result for the reporting period of € 18.2 million. The distribution of dividends had an opposing effect. The equity ratio decreased to 30.4 % (31 December 2022: 31.5 %).

Non-current liabilities increased by € 50.4 million  to € 1,622.3 million  (31 December 2022: € 1,571.9 million). The increase was mainly the result of the rise in non-current financial liabilities, due in part to the prorated assumption of a shareholder loan by a non-controlling shareholder. There was an opposing effect from a decrease in non-current liabilities to related parties.

The increase in current liabilities of € 65.7 million to € 391.5 million (31 December 2022: € 325.7 million) is primarily attributable to the increase in trade liabilities, current financial liabilities and other non-financial liabilities.

Investment analysis

Capital expenditure in the reporting period totalled € 153.7 million and was thus strongly above the prior-year figure of € 86.4 million. This was due to the postponement of asset additions from the previous year to the current financial year, among other things. Property, plant and equipment accounted for € 143.4 million of capital expenditure (previous year: € 80.6 million) and intangible assets for € 10.3 million (previous year: € 5.8 million). The majority of capital expenditure was for expansion work.

In the first half of 2023, investment activity focused on the procurement of large-scale equipment for horizontal transport and storage cranes at HHLA’s container terminals, primarily in the Port of Hamburg. Investments were also made in the purchase of locomotives and container wagons as well as the expansion of the METRANS Group’s hinterland terminals. In the Real Estate subgroup, capital expenditure focused on the development of the Speicherstadt historical warehouse district in Hamburg and the fish market area.

Liquidity analysis

As of 30 June 2023, cash flow from operating activities decreased by € 12.7 million to € 114.6 million (previous year: € 127.3 million). Besides the decline in EBIT, the main reason for this was the decrease in trade liabilities and other liabilities. The reduction of trade receivables and other assets had an opposing effect.

Investing activities led to a cash outflow of € 159.7 million (previous year: € 52.1 million). This development was largely due to payments for investments in property, plant and equipment and payments for short-term deposits (previous year: proceeds from short-term deposits).

Cash flow from financing activities amounted to € 53.3 million and increased by € 123.6 million compared with the prior-year figure of € -70.4 million. The development was primarily due to new loans taken out compared with the same period last year, as well as proceeds from the sale of shares in a fully consolidated company.

Financial funds as of 30 June 2023 amounted to € 179.8 million (30 June 2022: € 177.9 million). Including all short-term deposits, the Group’s available liquidity at the end of the first half of 2023 amounted to € 229.8 million (30 June 2022: € 217.9 million). As of 30 June 2023, available liquidity comprised cash pooling receivables from HGV Hamburger Gesellschaft für Vermögens- und Beteiligungsmanagement mbH amounting to € 82.6 million (30 June 2022: € 71.0 million) as well as cash, cash equivalents and short-term deposits of € 147.2 million (30 June 2022: € 146.9 million).