Annual Report 2023–2024 – Highlights, Financial Performance, and Strategic Outlook

Prioritize post-purchase support to boost client satisfaction and volumes. A disciplined, responsible approach to client care drives repeat business and strengthens the organization-wide commitment. Administrators deploy monitors across networks to track movements, align forecast data with field results, and ensure resources meet clients’ needs while keeping roll-onroll-off operations smooth.

Highlights and performance frameworks show that revenues grew mid-single digits and volumes rose in core export channels. The leader team performed on multiple fronts, delivering improvements in post-purchase metrics and strengthening our service platforms. Cash flow generation remained resilient, supported by disciplined working capital management and a prudent capital plan. The forecast for the next year calls for continued momentum as we extend networks and broaden client coverage.

Financial highlights include gross margins solid in the low-to-mid forties, operating margin near 12%, and free cash flow improving versus the prior year. Administrators implemented stricter controls, resulting in a lower cost base and improved return on capital. We create cross-functional agile teams to accelerate value delivery, with several roll-onroll-off contracts renegotiated to lock-in capacity and price. Our client base expanded significantly, and key clients now account for a larger share of volumes, reinforcing the business model’s resilience.

To sustain momentum, we recommend strengthening risk monitoring and expanding partnerships with administrators and clients. Focus areas include expanding export networks, investing in automation to reduce cycle times, and refining post-purchase analytics to support continuous improvement. By maintaining clear governance and a responsible approach to resource allocation, we position the group to respond swiftly to market movements and remain a leader in core segments.

Annual Report Planning

Adopt a twelve-week planning sprint starting now; deliver a final plan by late Q2 with three core workstreams, defined owners, and measurable milestones. Define the target length of the core document (28–32 pages) plus a four-page executive summary, and outline appendices. The council reviews and approves the plan at the next governance session.

Leads and structure: emma handles governance alignment; gaisha leads stakeholder outreach; teus oversees content pipelines. Each workstream assigns a rank to priority items, links to a detailed milestone set, and a cadence for status updates. A guideline to harmonize data sources is included to ensure a single, consistent narrative.

Arbitration and resolution: establish means for resolving data-source disagreements; an informal arbitration panel resolves issues within five business days. The panel includes representation from involved staff and external partners. If needed, escalate to council oversight to ensure timely decisions.

Pilot and portal: run a pilot of the planning portal with twelve departments and arab partners to test feedback capture. Set a target response rate of at least 60% in the first cycle; monitor feedback quality and time-to-resolution. Use feedback to adjust milestones and content.

Model and length management: implement a harmonized model with a three-tier structure–core metrics, content calendar, and risk/issue log. Align pipelines across divisions to reduce duplication and ensure consistency. Target length: core report 28–32 pages, executive summary 4 pages; annexes as needed.

Monitoring and governance: schedule monthly updates, measure progress across pipelines, rank challenges by impact, and keep staff involved by measuring engagement. The portal collects feedback and flags unresolved items to the council.

Highlights by Quarter: KPI snapshots and material events

Implement a quarterly KPI dashboard that links KPI snapshots to material events across Ontario warehouses and terminals, with metrics computed daily and targets aligned to regulations and standard processes.

1. 2024 Q1

   • KPI snapshots: On-time shipment 92.1% (target 95.0%), Lading accuracy 99.2% (target 99.5%), Warehouse throughput 7,540 units/day, Shipments processed 12,350, Terminal dwell time 1.8 days, Truckers utilization 82%, Inventory turns 5.6x, Compliance audits passed 100%.
   • Computed: KPIs are computed daily from ERP data and presented to leadership for action.
   • Material events: Ontario warehouse capacity expanded by 15,000 pallet positions; terminal added 2 docks; platforms integrated across systems; wheelchair-accessible loading docks installed; regulations on driver hours and port operations updated; traveling distances between hubs reduced by 6% where applicable; lading accuracy checks introduced at the dock; operations facing supply constraints mitigated with a new contingency plan.
   • Recommendations: tighten the shipping process to push on-time performance toward 95% by Q2; standardize dock scheduling across all Ontario sites; deploy a cross-platform visibility layer to improve where shipments stand in real time.

2. 2024 Q2

   • KPI snapshots: On-time shipment 93.4% (target 95.0%), Lading accuracy 99.4% (target 99.5%), Warehouse throughput 7,820 units/day, Shipments processed 12,860, Terminal dwell time 1.75 days, Truckers utilization 84%, Inventory turns 5.7x, Compliance audits passed 100%.
   • Computed: Daily KPI calculations feed quarterly reviews and forecast adjustments.
   • Material events: Ontario platform upgrade completed; new cross-dock at two warehouses; enhanced safety standards implemented to align with regulations; Ontario routes reviewed for travel time efficiency; lading checks expanded to include spot audits; wheelchair-accessible paths confirmed at all loading zones.
   • Recommendations: target a 95% on-time rate by Q3 through tighter carrier commitments and improved travel-time planning; continue standardization of processes and adjust target lanes in Ontario to reduce dwell times further.

3. 2024 Q3

   • KPI snapshots: On-time shipment 94.2% (target 95.0%), Lading accuracy 99.6% (target 99.5%), Warehouse throughput 7,980 units/day, Shipments processed 13,510, Terminal dwell time 1.7 days, Truckers utilization 86%, Inventory turns 5.8x, Compliance audits passed 100%.
   • Computed: Metrics remain computed daily; management dashboards present trends and variance against targets.
   • Material events: Breaking ground on automated unloading at the Ontario terminal; new high-density storage corridors activated; KPI snapshots presented to the executive team; travelling time between hubs further reduced by route optimization; regulations updates incorporated into daily routines; lading accuracy program expanded with real-time scan validation.
   • Recommendations: accelerate automation ROI by prioritizing the break-even lanes with the highest volume; scale wheelchair-accessible facilities to maintain accessibility as throughput grows; reinforce carrier partnerships to sustain margin while lifting on-time results.

4. 2024 Q4

   • KPI snapshots: On-time shipment 95.2% (target 95.0%), Lading accuracy 99.7% (target 99.5%), Warehouse throughput 8,120 units/day, Shipments processed 13,970, Terminal dwell time 1.65 days, Truckers utilization 88%, Inventory turns 5.9x, Compliance audits passed 100%.
   • Computed: End-of-year KPI aggregation confirms calculations across platforms and warehouses.
   • Material events: Year-end compliance review completed; additional regulatory alignment across routes; continued platform optimization across Ontario warehouses; new data-sharing agreements with truckers to improve visibility; final adjustments to wheelchair-accessible loading bays completed; lading integrity program extended to all outbound shipments.
   • Recommendations: lock in the 2025 target for on-time shipments at or above 95% and push to 96% where possible; finalize platform-wide standard operating procedures; maintain focus on travel-time reductions and efficient loading to sustain high throughput.

Revenue by Segment: YoY growth, mix, and key drivers

Prioritize prime segments with durable demand and accelerate investments to lift margins. Total revenue grew 11% YoY, with consulting and Services up 14% and Supplies up 7%, shifting the mix toward high-value engagements. Undertook targeted capacity expansion and a disciplined pricing review to support the shift, with results highlighted to the board.

Key drivers include enhancing efficiency, delta in demand by region, and variations across product lines. We accessed real-time dashboards that highlighted performance on both sides of the business, and we are responding quickly to supply constraints by adjusting allocations and pricing where appropriate. To shore up inventories, we added a tank for critical components and refreshed brown inventory lines, reducing stockouts and carrying costs.

Regional variations: economies recovered at different paces. Americas led with 12% YoY growth, Europe 9%, and Asia-Pacific 5%. crossborder restrictions still shaped routes and timing, but easing in key markets supported higher utilization. The business faces volatility on both sides of the globe, experiencing fluctuations in demand, and we mitigated by diversifying supplies and expanding local procurement.

Сайт president highlighted three guiding actions for the year ahead: expand consulting capabilities, strengthen supplies resilience, and accelerate data-driven decision making. We undertook portfolio refinements, implemented a measured pricing charge to offset inflation, and accessed additional suppliers to reduce crossborder risk. We also track carbon dioxide intensity and aim to decrease it further, aligning growth with our sustainability commitments.

Expense Breakdown and Margin: COGS, SG&A, and cost controls

Renegotiate supplier terms now to cut COGS by 3–4 percentage points in the coming year, and establish a cross-functional cost-control session to track progress, led by a dedicated role in procurement and finance.

In 2023–2024, revenue reached $12,500 million. COGS totaled $7,750 million (62.0%), yielding gross profit of $4,750 million (38.0%). SG&A amounted to $2,125 million (17.0%), producing an operating income of $2,625 million (21.0% margin). Net income stood at about $1,000 million (8.0% margin).

To drive COGS improvements, negotiate long-term purchasing agreements with preferred suppliers, consolidate cargo sourcing, and use a supplier portal to standardize terms across vendors. Establishing protections around pricing and lead times, particularly for high-volume cargo, reduces volatility that erodes margins. The field teams participate in a decision framework announced by leadership, and suppliers are represented in quarterly reviews. The countrys protections and municipalities’ guidelines shape supplier selection and contract terms, ensuring cross-regional compliance. The plan relies on a national network to diversify sources, minimizing impact from any single supplier departure.

SG&A optimization targets discretionary spending, travel, and non-core marketing activities, supported by expense-management applications and tighter approval thresholds. Extend long contracts where feasible, renegotiate office leases, and route nonessential spend to higher-return applications. To prevent knowledge loss from departures, implement cross-training and succession plans in parallel with a monthly session reviewing progress against budget.

Cost-control framework relies on activity-based costing for key product groups, with a focus on throughput across the distribution network and truckload utilization. Pair these measures with a logistics redesign that shifts load mixes to higher-efficiency routes and consolidates shipments where possible. Set clear performance metrics for procurement and logistics, and monitor quarterly results via a centralized portal to drive accountability and continuous improvement. The approach aligns cargo planning with protection policies and supports municipal and countrys protections while advancing the annual efficiency agenda for the cargo portfolio.

Cash Flow, Liquidity, and Balance Sheet Signals

Recommendation: Lock liquidity by accelerating receivables, trimming nonessential spend, and pausing non-critical capex for two quarters to protect free cash flow, targeting a minimum cash balance of $180 million and a debt-to-equity ratio below 0.6 by year-end.

Analytics drive the plan. The 2023–2024 cash flow model shows operating cash flow of $210 million, up 12% YoY, and free cash flow of $95 million after $115 million in capital expenditure. Working capital improved: DSO dropped from 50 to 44 days; days inventory outstanding fell to 40 days; inventory turns rose to 6.2x. Accounts payable days lengthened to 52 days, keeping the cash conversion cycle at 66 days, down from 78. The trend supports steadier liquidity and a larger buffer during longhaul demand shifts. The hava index, a volatility proxy, reached 1.9 in Q4, underscoring the need for contingency planning. Prominence of liquidity metrics in board reporting increased this quarter.

Balance-sheet signals show fitness and resilience. Cash and equivalents stand at $430 million. Total obligations, including lease commitments and pension entitlement obligations, run about $820 million. Net debt sits at $320 million; long-term debt is $320 million and current portion $80 million. Leverage remains modest (debt-to-equity 0.36); interest coverage is 6.5x. These figures support a robust capital structure and improve accessibility to capital markets.

Regional and workforce dynamics inform the mix. The Portugal unit contributed to cash-flow resilience through faster receivables and stronger supplier terms, reducing gross working capital by tens of millions. In workforce cases, immigrants in frontline roles helped stabilize operations, while targeted training improved fitness metrics and lowered overtime costs in longhaul logistics. We monitor tons of inbound inventory and apply continuous review to avoid bottlenecks during peak seasons. The hava signal continues to track FX and terms volatility, guiding dual-sourcing and hedging.

Action plan for decision-makers: Create a formal supplier agreement to extend terms to 60 days for strategic categories, and set up transitional financing for major assets. Establish continuous reporting with accessible analytics dashboards for all units, ensuring decision-makers have quick accessibility to data and can act rapidly. Expand training on cash-flow management, inventory optimization, and entitlement governance for pension obligations. Use real cases to test resilience, including longhaul scenarios, and emphasize accessibility of data to regional teams.

Appendices Overview: Data tables, glossary, and methodology

Review these Appendices now to validate the data tables, glossary terms, and the methodology behind the 2023–2024 report. Focus on quarterly totals, the origin and interprovincial routes, and the delta values that explain change across quarters.

Data tables capture collected figures at the shipper level with a language-friendly layout. They show greenhouse indicators alongside tonnage, shipment speed, and data protection measures. Additionally, the tables map points of origin and continente-route segments, with electronic records linked to each line item. The interprovincial and marine contexts are summarized in organizational notes to support cross-department understanding.

The glossary defines core terms used throughout, including greenhouse, shipper, interprovincial, origin, marine, electronic, language, delta, and tons. This concise reference ensures consistent interpretation across summaries and quarterly reporting, enabling teams to align on definitions and avoid misinterpretation.

The methodology section outlines data sources, validation steps, and calculation rules. It describes inputs from shipper electronic logs and internal systems, the delta calculation (difference between consecutive quarters), and the quality controls that protect data integrity. The section also details the basic cadence, change-tracking processes, and the protections applied to sensitive records. If any anomaly occur during processing, the validation rules trigger a remediation workflow, which helped teams align definitions and accelerate reviews.

Recommendations for use: cross-check the Q4 delta against earlier quarters to confirm consistency, verify origin and interprovincial labels align, and ensure continente routes are correctly mapped in the analyses. Maintain electronic records to support rapid, supportive summaries for quarterly reviews, and keep greenhouse metrics visible along with marine and organizational data points.