Hapag-Lloyd generated a profit of US$3.6bn in the first nine months of 2024. This is well below the previous year’s figure of US$4.5bn.
The decline is not unexpected. The Hamburg-based company cites the low freight rates in the first half of the year and increased costs due to the rerouting of ships around the Cape of Good Hope as reasons. In the third quarter, however, stronger demand and higher freight rates led to a significant increase in earnings compared to the previous quarters, according to the company.
More containers, but less turnover at Hapag-Lloyd
The liner shipping segment recorded an increase in transport volume of 5% or 400,000 TEU to 9.3 million TEU in the first nine months. However, segment revenue fell by 2% to US$15bn, in particular, due to a lower average freight rate of US$1,467/TEU compared with the prior-year period (USD 1,604/TEU). EBITDA decreased to US$3.5bn compared to US$4.5bn. EBIT amounted to US$1.9bn after just under US$3bn in the previous year.
The Terminal & Infrastructure segment recorded a significant increase in sales and earnings. EBITDA rose to US$114 million and EBIT to US$56 million. The segment was established in the second half of 2023, so the figures are only comparable to a limited extent.
“We will continue to consistently implement our Strategy 2030 and focus on our growth and quality targets,” said Rolf Habben Jansen, CEO of Hapag-Lloyd AG. In view of the recent higher-than-expected demand, improved freight rates and despite increased transport expenses, the Executive Board had already raised its forecast for the current financial year on 24 October 2024.
Group EBITDA is now expected to be in the range of US$4.6 to 5.0bn and Group EBIT in the range of US$2.4 to 2.8bn.
KEY FIGURES (USD)*
| 9M 2024 | 9M 2023 | 9M 2024 vs. 9M 2023 |
|
| Group | |||
| Turnover (USD million) | 15.283 | 15.312 | -29 |
| EBITDA (USD million) | 3.592 | 4.520 | -928 |
| EBIT (USD million) | 1.939 | 2.988 | -1.049 |
| EBITDA margin | 24 % | 30 % | -6 Ppt |
| EBIT margin | 13 % | 20 % | -7 ppt |
| Consolidated net income (USD million) | 1.833 | 3.424 | -1.591 |
| Liner Shipping segment | |||
| Transport volume (TTEU) | 9.323 | 8.916 | 407 |
| Freight rate (USD/TEU) | 1.467 | 1.604 | -137 |
| Turnover (USD million) | 14.988 | 15.230 | -241 |
| EBITDA (USD million) | 3.478 | 4.481 | -1.003 |
| EBIT (USD million) | 1.884 | 2.960 | -1.076 |
| Terminal & Infrastructure segment | |||
| Sales (USD million) | 327 | 92 | 235 |
| EBITDA (USD million) | 114 | 40 | 75 |
| EBIT (USD million) | 56 | 28 | 27 |
With a fleet of 292 modern container ships and a total transport capacity of 2.3 million TEU, Hapag-Lloyd is No. 5 in the ranking of the world’s leading liner shipping companies. Just a few days ago, the shipping company ordered 24 medium-sized and large newbuildings, thereby significantly increasing its own order book.
The company is currently involved in 113 liner services. The new alliance with Maersk will start in February 2025 with the Gemini Cooperation. The two partners are leaving their previous consortia “THE Alliance” and “2M”.
