Latest News
-
Low industry activity in India has led to a fall in truck rentals
The Indian Foundation of Transport Research and Training said that truck rentals in India fell by 4% to 5% in April, after a 9% - 10% decline in March due to the Iran war and a lack of supplies in the main manufacturing hub. * The IFTRT reported a drop of between?15 to 20% of the cargoes that are sent from manufacturing hubs. This is especially true for?small and mid-sized enterprises, which?accounts for?70% or more of intra and interstate cargoes It said that increased arrivals of summer fruits, vegetables, and pulses boosted the agri-logistics market by 20 % - 25 %, leading to capacity shifting to wholesale markets to offset industrial freight losses. * IFTRT stated that although local diesel prices?have not been raised, truck?tyres have increased by 4%-5%?in the past 4 to 6 weeks?,?increasing the operational expenses of fleet owners? (Reporting and Editing by Louise Heavens, Nidhi verma)
-
Bangladesh to switch from Airbus to Boeing for jets
Bangladesh is set to sign an agreement?on Thursday?to buy 14 'aircraft?from U.S. aircraft manufacturer Boeing, according to officials. This marks a departure from Europe's Airbus due to trade pressure from Washington. Officials have not disclosed the value of the agreement, which will provide Biman Bangladesh Airlines with a mixture of narrow-body and large-body aircraft as it looks to expand its capacity and modernise their fleet to meet the rising demand. An official of the aviation ministry, and a representative from Biman have confirmed that an agreement will be signed in Dhaka on Thursday night. The officials spoke under condition of anonymity as they were not authorized to speak to media. The aircraft will be delivered in phases. However, more technical and financial details have not been disclosed. Boeing did not respond immediately to a comment request outside of its normal business hours. The agreement brings to an end a long-running contest between Boeing's and Airbus's bids for Biman’s next big order. Both manufacturers were vying for greater presence on the growing South Asian aviation market. Bangladesh approved plans under the former government of Prime Minster Sheikh Hasina to purchase 10 aircraft from Airbus, even though no agreement was signed. After the fall of her government during the mass uprising in 2024, the interim administration changed its course to favour?Boeing. Officials stated that the decision was based on both fleet needs and larger trade considerations. Bangladesh is trying to reduce the pressure of a $6 billion trade deficit with the United States, and avoid tariff increases which could hurt its export-driven economy. The expansion of the fleet coincides with broader upgrades in Bangladesh's aviation industry, including a brand new terminal at Dhaka Airport, to handle the increasing passenger traffic, driven by a growing middle-class and a large number of overseas workers. Biman, a 54-year old company, has more than 20 aircraft in its fleet, mostly Boeings. More than half are wide-body planes. The company also owns a number Dash-8 turboprops.
-
Adani Ports in India sees its quarterly profit increase as cargo volumes rise
Adani Ports & SEZ, India's largest private operator by volume, posted a 10.5% increase in profit for the March quarter on Thursday. This was boosted largely by a rise in cargo volumes. The company reported a net profit for the third quarter of?33.29billion rupees ($350.03m), up from 30.14billion rupees one year earlier. Analysts say that disruptions in the Strait of Hormuz caused shippers to reroute their cargo. This has led to an increase in container volumes, transshipments, and'stopovers' at Adani Ports. The firm's ports business, which is its largest, saw a 30.5% increase in revenue, while its logistics division grew by 2%. This was mainly due to higher volumes of containerized and bulk cargo. The quarter saw a 13% increase in cargo volumes to 133.4 million metric tons, and a 26.5% increase in overall revenue.
-
Weir, a UK engineering company, has a quarterly decline in order intake
Weir Group announced a drop in 'first-quarter orders' on Thursday. This sent shares tumbling as much as 10% even as the engineering firm reaffirmed its annual guidance and promoted their head of the biggest business to CEO. Andrew Neilson, the president of the company's minerals division, will succeed Chief Executive Jon Stanton, who is heavily focused on the mining industry. The unit accounts for more than 71% of the total group revenue. This update is timely as the global demand for rare earth minerals, such as nickel, continues to increase. Other factors driving this are electric vehicles, grid expansion, renewable energy, and the growth of data centres linked to artificial intelligent. For the first quarter ending March 31, Weir reported that its total order intake had declined by 3%, following similar declines in its minerals unit. This sent shares down 7% to 2,560 pence at 0820 GMT. The company stated that phasing orders and some mine interruptions in Asia-Pacific?and Africa have affected the business. However, it is confident that?orders will?develop'very positively' throughout the year despite the potential impact of uncertainty related to the Iran War. The company stated that the rise in commodity prices, driven by the war, has boosted demand for expansions as well as underlying activity. The company continues to expect a mid-single digit organic revenue growth in 2026 and a 50 basis-point increase in operating margin. (Reporting from Neeshita Behra in Bengaluru, Writing by Pushkala Aripka; Editing by Sumana Dhaniwala and Mrigank Nandy)
-
DCC rejects a $6.66 billion offer to buy DCC, shares fall
Irish energy 'distributor DCC rejected a 4,95 billion-pound takeover offer from a consortium consisting of U.S. Investment firms KKR & Energy Capital Partners on?Thursday, claiming it undervalued its company. DCC shares, listed on the London Stock Exchange, fell 5% early in trading. Cash offer of 5,800 pence each share represents an 8% premium to DCC's closing price on Wednesday before the offer became public. KKR and?Energy?Capital partners did not respond immediately to requests for comments. According to British takeover regulations, the consortium has until June 10th to submit a firm offer or walk away. This is the latest attempt by private equity to acquire a UK listed company. Bidders are attracted by British or Irish companies' lower valuations. Beazley and Schroders?and Intertek are among the FTSE 100 companies that have received takeover bids in recent months. DCC distributes liquid gases, biofuels and renewable energy for businesses and households. It has simplified its operations in order to focus on the core energy business after divesting non-core assets such as healthcare and technology. RBC Capital Markets analysts stated in a note that they believe there is a high probability of a deal happening, but were unsure if it would be more than 10% above the current price. DCC shares fell?5.4% to 5,565 pence as of?0713 GMT. This valued the company at 4,75 billion pounds.
-
Air France-KLM's jet fuel bill to rise by $2.4 billion by 2026
Air France-KLM said that it expects to see its fuel bill increase by 2.4 billion US dollars in this year due to the disruption of the energy markets caused by the Iran War. It also downgraded the outlook for its capacity. Jet fuel accounts for more than one-third of airline costs. EasyJet, TUI and other European airlines have revised their forecasts since the Middle Eastern conflict began at the end February. Jet fuel hedges that they have taken out to protect themselves from price increases are no longer able to keep them safe, given the size of the spikes. CEO SAYS WORST IMPACT ?HAS YET TO BE FELT Air France-KLM's Chief Executive Ben Smith stated in a statement that while fuel price increases have not yet been reflected in today's results, they will?have a significant impact on the next quarters. The company stated that its total fuel was expected to be $9.3 billion dollars in the coming year, and 1.1 billion dollars of this would be in the second quarter. The company's first-quarter losses were smaller than expected due to strong bookings made before the Iran War and the preference of passengers for European airlines. It has lowered its expectations of group capacity from 2025 to an increase in this year between 2% and 4%. It had previously anticipated an increase between 3% and 5%. Analysts say that the reduction in capacity was smaller than anticipated. Bernstein analyst Alex Irving stated in a report that it was a reflection of "a strong earnings environment?and high demand?for travel". Air France-KLM has reported a 27-million-euro operating loss for the first quarter, compared to a projected loss of 389-million-euro by LSEG's analysts. This represents a 301-million-euro improvement over the?last year. Fuel price increases have not yet affected first quarter results. The airline said that it saw an initial increase in demand after the war with Iran, as more passengers chose European airlines for flights to Asia. As the conflict continues, the airline said that it would increase its capacity for long-haul flights, but at a smaller rate, as many people are delaying bookings due to concerns about the financial risks of such trips.
-
Rolls-Royce UK confident about outlook despite Middle East disruption
Rolls-Royce, a British 'engineering' company, said that it would abide by its guidance to increase profits at least 16% in this year and be able to mitigate the disruptions caused by the Middle East war. Rolls-Royce is the engine manufacturer for the Airbus A350 widebody jets and Boeing 787 widebody planes. This means that its airline customers were affected by the disruptions to air travel in the first weeks of the Iran War, which began in late February. The air travel industry has recovered somewhat since the conflict, but airlines that pay 'Rolls' for the hours of flight they use its engines continue to face higher fuel costs as a result. Rolls reported in its trading update of Thursday that Middle?Eastern carriers had recovered in terms of engine flying hours, with many engines returning to pre-conflict levels. Other regions also saw growth as carriers reallocated capacity. Tufan Erginbilgic, chief executive of the company, said in a statement that they hoped to 'fully mitigate' the financial impact. Rolls-Royce's power systems, which also run data centers, and its nuclear?power? and defence units are aiming for an operating profit of between 4 billion pound and 4.2 billion pound ($5.39-5.66 million) by 2026. $1 = 0.7427 pound (Reporting and editing by Paul Sandle).
-
Air France-KLM revised capacity outlook due to geopolitical uncertainties
Air France-KLM reported a smaller loss in the first quarter than expected on Thursday, but it downgraded the outlook for its capacity on the basis that geopolitical uncertainties are linked to the U.S./Israeli war against Iran and the rising costs of jet fuel. EasyJet, TUI and other European airlines have revised their forecasts due to the shrinking jet fuel hedges. The airlines expect to feel the effects of the Strait of Hormuz closure more intensely in the next few months. Ben Smith, Air France-KLM's Chief Executive said that fuel price increases have not yet been reflected in today's results. However, they are expected to affect the next quarters. The company stated that its group capacity is now expected to increase by 2% - 4% in this year compared to 2025. Previously, it had expected a 3%-5% increase. It said that it expected a 2.80 billion euro (2.40 billion dollar) increase in fuel costs in 2026, compared to 2025. Air France-KLM has reported a loss of 27 millions euros ($31.55m) in the first quarter, compared to a?loss projected by LSEG of 389million euros ($454.51m). This represents a 301 million euro improvement compared to last year. Fuel price increases have not yet affected the first-quarter results. The company said that it had seen an initial surge in bookings for long-haul flights after the Iran 'war broke out, as travellers were choosing European airlines to fly to Asia. However, the expansion of its long-haul flight capacity would be more modest, as people are putting off travel plans and bookings closer to their travel dates, due to financial concerns. ($1 = 0.8559 euro) (Reporting and editing by Edmund Klamann; Joanna Plucinska)
India's BluSmart, a rival to Uber, suspends its operations after a co-founder is investigated
The Indian electric taxi service BluSmart, a competitor to Uber, has suspended its services after an investigation by a market regulator found that a cofounder had misused funds in an affiliated company and purchased a luxury apartment using money meant for electric vehicles.
BluSmart was a pioneer in India's clean-energy boom, but its abrupt suspension threatens the livelihoods of thousands of taxi drivers. It set up charging stations in cities such as New Delhi, Mumbai, and Bengaluru, where it had more than 8,000 taxis to compete with Uber and Ola. Both ride-hailing companies rely heavily on gasoline-powered fleets.
BluSmart sent an email to its customers on Thursday saying: "We have decided to temporarily shut down bookings for the BluSmart App", but without providing any reason.
The email came in response to social media concerns about funds being blocked in BluSmart wallets. It stated that the company would only initiate a refund "if services are not resumed before then."
BluSmart didn't respond to any questions. The company was backed by bp Ventures, a British oil giant BP arm, and told 2023 that it had a 9% share of the market in New Delhi.
India's stock market regulator banned brothers Anmol Jaggi and Puneet Jagadi from the market this week and ordered a forensic examination of their listed solar company in Mumbai, Gensol. Gensol used to purchase electric vehicles and lease them out for ride-hailing services.
Anmol Jaggi, one of the co-founders and managing director of Gensol, is also a co-founder of BluSmart.
The market regulator stated in an order issued this week that there was "a complete breakdown in internal controls and corporate Governance norms at Gensol"...the fund diversion occurred primarily in the context electric vehicle (EV), purchases intended to be leased to a related third party.
Through layered transactions the funds Gensol received as loans to purchase EVs was partly used to buy a luxury apartment at The Camellias DLF, one of India's priciest apartment complexes.
Gensol says it will follow the directives of the market regulator.
(source: Reuters)