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Wednesday, February 21, 2024
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Maersk’s revenue takes US$30 billion hit in “transitional year”

Like the majority of container carriers, Maersk has seen huge drops in its 2023 financial figures.

The Danish company reported a US$30 billion decline in its yearly revenue reaching US$51 billion, while EBITDA plunged from US$37 billion to US$9.5 billion and EBIT plummeted from US$31 billion to US$4 billion.

Vincent Clerc, CEO of Maersk, commented, “2023 was a transitional year following the extraordinary market boom caused by the pandemic. We secured solid financial results despite significantly changed circumstances, and we are well positioned to manage the expected headwinds in 2024. By taking early and decisive measures to enforce strict cost management, we adapted to the new reality. We need to see further progress in the logistics business to align with our targets, as we continue to push our transformation forward and enhance our competitiveness.”

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Maersk noted that guidance for 2024 is based on the expectation that global container volume growth will be in the range of 2.5% to 4.5% and that Maersk will grow in line with the market.

It is further expected that the significant oversupply challenges in the Ocean industry will materialise fully throughout 2024. However, high uncertainty remains around the duration and degree of the Red Sea disruption with the duration from one quarter to full year reflected in the guidance range. Front-loading is expected towards the start of 2024.

“The current market remains one of robust volumes, but while the Red Sea crisis has caused immediate capacity constraints and a temporary increase in rates, eventually the oversupply in shipping capacity will lead to price pressure and impact our results,” said Vincent Clerc, adding that “the ongoing disruptions and market volatility emphasize the need for supply chain resilience, further confirming that Maersk's path toward integrated logistics is the right choice for our customers to effectively manage these challenges.”





Antonis Karamalegkos
Managing Editor

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