The logistics group has benefited from high freight rates in the wake of the pandemic but a decline in global consumer demand due to cost inflation and high inventories has since prompted rates to drop.

“As anticipated, the demand for transport services and freight rates declined during the first quarter of 2023,” CEO Jens Bjorn Andersen said in a statement.

“We expect that global trade volumes will improve gradually in the upcoming quarters,” he said.

First-quarter profit before interest, tax and special items was 4.7 billion crowns ($696.98 million) against a mean forecast of 4.2 billion in a DSV poll of analysts.

The company maintained full-year operating profit outlook given earlier this year.