CMA CGM, the third biggest shipping line, posted a 22.8 percent increase in net profit to US$408 million, partly as a result of the sale of 49 percent of Terminal Link, the terminal activities subsidiary, in June.
"In 2013, in a difficult market, we successfully reduced our costs while increasing our volumes carried much faster than the market, enabling us to report one of the industry's best financial performances. In this way, year after year, we are reinforcing our position as the world's third largest container shipping company,'' said Rodolphe Saadé, chief executive officer.
CMA CGM consolidated revenue remained stable, easing back just 0.1 percent to $15.9 billion.
Volumes carried rose by 7.5 percent to 11.4 million TEUs, ahead of market growth of around three percent over the year. As a result, the decrease in average revenue per TEU was held to 7.1 percent, which was less than the decline in the corresponding Shanghai Containerised Freight Indices (SCFI).
CMA CGM maintained its operating cost discipline in response to the persistently difficult market conditions. This helped to drive a 5.3 percent reduction in costs per TEU and deliver an operating margin of 4.8 percent, one of the industry's highest.
CMA CGM expects volumes to increase by four to five percent in 2014. But believes rates will remain under pressure throughout the year given the persistent mismatch between supply and demand.
CMA CGM is focusing on fast growing regions with the launch of new services and the development of port infrastructure. This is notably the case in Africa with the strengthening of its lines, the development of overland corridors and the opening of new agencies and logistical terminals.
-
Company DirectoryFreight RateExport RateAgency PartnershipCargo Leads