Mainfreight's profit for the first three months of this financial year has slipped more than 15%.
The transport and logistics company made an after tax profit of $12.4 million in the three months to the end of June.
Revenues increased by more than 3%, but earnings were hit by the strong New Zealand dollar.
Operations in New Zealand, Australia, the United States and Asia all experienced double-digit growth. However, earnings at the company's European division fell nearly 5%.
Managing director Don Braid says the lack-lustre performance in Europe was previously signalled.
Shares in Mainfreight were down 11 cents at $9.09 after the announcement.