“Maersk Line is again profitable”

Maersk Line reiterates the expectation of an improvement in excess of USD 1bn in underlying profit compared to 2016 (loss of USD 384m)

“Maersk Line is again profitable”

A.P. Moller – Maersk delivered a loss for the first six months of USD 11m (profit of USD 342m) negatively impacted by post-tax impairments of USD 732m (USD 123m) primarily related to Q2 for Maersk Tankers by USD 464m (USD 0m) and APM Terminals by USD 250m (USD 8m).

Revenue increased to USD 18.6bn (USD 17.4bn), predominantly due to higher average container freight rates and higher volumes and a 30% higher average oil price, partly offset by lower entitlement production and the impact from low activity and lower earnings in the offshore industry. Operating expenses increased by USD 775m mainly due to higher bunker prices countered by the continuous focus on cost efficiency.

Maersk Line reported a profit of USD 273m (loss of USD 114m) and a positive ROIC of 2.7% (negative 1.1%). Volumes increased by 5.7% to 5.3 million FFE (5,017k FFE) and average freight rate increased by 13% to 2,014 USD/FFE (1,782 USD/FFE).

“Maersk Line is again profitable delivering in line with guidance, with revenue growing by USD 1bn year-on-year in the second quarter. The profit was USD 490m higher than the same quarter last year, based on higher rates,” says Søren Skou, CEO of A.P. Moller – Maersk.