Hapag-Lloyd 's income increases despite lower volumes
Despite the negative effects of the COVID-19 pandemic, the German shipping company Hapag-Lloyd closed the first six months of this year with a profit.
The group profit amounted to $314 million in the year 2020 compared to $165 million seen in the same period a year ago.
Earnings before interest and taxes (EBIT) amounted to $563 million and reached $440 million in the previous year.
Around the same period, earnings before interest , taxes, depreciation and amortization (EBITDA) rose from $1.08 billion to $1.29 billion.
Income in the first half of 2020 was roughly $7 billion, less than 1% below the previous year's level. This can mainly be attributed to the fact that, according to the carrier, the volume of transport decreased by approximately 4 percent to approximately 5.8 million TEUs.
“After the year got off to a decent start, transport volumes significantly declined in the second quarter as a result of the COVID-19 pandemic. We benefitted from the sudden drop in bunker prices, adjusted capacity to lower demand and took additional cost-cutting measures as part of our Performance Safeguarding Program. On the whole, we have a good first half year behind us despite the coronavirus crisis,” Rolf Habben Jansen, Chief Executive Officer of Hapag-Lloyd AG, said.
For the current financial year, Hapag-Lloyd predicts an EBITDA of EUR 1.7 billion to EUR 2.2 billion and an EBIT of EUR 0.5 billion to EUR 1 billion. In view of the COVID-19 and the economic implications it has had in many parts of the world, the prediction will remain subject to considerable uncertainty, the company explained.
Hapag-Lloyd has a fleet of 239 container vessels with a total transport capacity of 1,7 mln TEU.
Maritime Business World