Financial News

10/November/2016

DGAP-News: VTG Aktiengesellschaft: VTG AG to digitalize its entire European wagon fleet


DGAP-News: VTG Aktiengesellschaft / Key word(s): Product Launch

2016-11-10 / 12:00
The issuer is solely responsible for the content of this announcement.


Press Release

VTG AG to digitalize its entire European wagon fleet

Market leader unveils digitalization strategy and announces new digital services

Hamburg, November 10, 2016. VTG Aktiengesellschaft (VTG AG), the leading wagon hire and rail logistics company in Europe, has unveiled a comprehensive digitalization strategy as the cornerstone of digital services in the industry. Over the next three to four years, the company will equip its whole European wagon fleet with a telematics system. Digitalizing every single freight car will lay the foundation for its new VTG Connect service, one aspect of which will involve supplying the operator with location and event data from all wagons. This will facilitate faster, smoother and more efficient maintenance and logistical processes in the future.

"We are the market leader, and we see it as our responsibility to make rail more attractive compared to other modes of transportation. That's why we're backing digitalization from end to end," says Dr. Heiko Fischer, CEO of VTG AG, underscoring the importance of the project. "A system that covers the entire European rail market is needed if rail freight transportation is to stay competitive in the long term. For this reason, we are equipping all VTG wagons in Europe with digital technology. This up-front investment marks a huge step forward for VTG and the whole industry."

Availability of process-related data

The solar-powered VTG Connector - a small box fitted to each wagon - is at the center of the new digital technology. The current position of each and every wagon is thus permanently available based on its GPS coordinates. Exact itineraries, arrival times and actual mileage can be calculated as a result. On request, geofencing allows customers to be alerted whenever wagons enter or leave custom-definable geographic areas, such as ports or border regions. An acceleration sensor supplies data about shock or impact events. All this information can be used to analyze and control logistical processes.

Benefits of digital services

Access to information about exact itineraries and arrival times empowers VTG customers to optimize their wagon scheduling. That in turn raises productivity while also reducing idle times and shortening the duration of round trips. "This pan-European telematics system and the resultant services will create the transparency that rail freight transportation so desperately needs," Fischer stresses. "Essentially, we are offering the entire industry the chance to realize further effective improvements. We are also strengthening rail freight's position as the backbone of smart and sustainable logistical solutions."

Equipping its entire European fleet will not only enhance VTG's service portfolio for wagon hire customers in the long term. Digitalization also opens up an array of benefits to customers of VTG's logistical services, as the data captured for each wagon can be used to optimize transportation routes and processes. Moreover, the VTG Connector is already ready to be fitted to VTG's tank containers. "Once again, we see how establishing consistent connectivity between our divisions and rigorously pursuing our 'ONE VTG' strategy genuinely adds value for our customers," Fischer concludes.

About VTG:

VTG Aktiengesellschaft is one of Europe's leading wagon hire and rail logistics companies, with a fleet consisting of more than 80,000 railcars. VTG offers a full-range service, providing tank cars, intermodal wagons, standard freight wagons and sliding wall wagons. In addition to the hiring of wagons, the Group offers comprehensive multi-modal logistics services, mainly around rail transport, and global tank container transports.

With the combination of its three interlinked divisions Railcar, Rail Logistics and Tank Container Logistics, VTG offers its customers a high-performance platform for international transport of their freight. The Group has many years of experience and specific expertise, in particular in the transport of liquid and sensitive goods. Its customers include numerous well-known companies from almost every industrial sector, for example the chemical, petroleum, automotive, paper and agricultural industries.

In the financial year 2015, VTG generated revenue of EUR 1,027.5 million and operating profit (EBITDA) of EUR 336.5 million. Via its subsidiaries and affiliates the company, which has its head office in Hamburg, is mainly present in Europe, North America, Russia and Asia. As at 31 December 2015, VTG had 1,445 employees worldwide in consolidated companies. VTG AG is listed on the official Prime Standard market of the Frankfurt Stock Exchange and also on the SDAX (WKN: VTG999).

Press contact:

Gunilla Pendt
Head of Corporate Communications
Telephone: +49 (0) 40 23 54-1341
Fax: +49 (0) 40 23 54-1340
E-mail: gunilla.pendt@vtg.com

Investor relations contact:

Christoph Marx
Head of Investor Relations
Telephone: +49 (0) 40 23 54-1351
Fax: +49 (0) 40 23 54-1350
E-mail: christoph.marx@vtg.com

More information at www.vtg.com



2016-11-10 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de


show this

back