Get the latest maritime news, analysis and more delivered to your inbox
Join 12,000+ members of the maritime community
Sponsored By
Maersk cuts 2015 profit forecast on sharp fall in container freight ratesMaersk cuts 2015 profit forecast on sharp fall in container freight rates
Maersk Group has cut its profit forecast for the year by $600m due to the difficult rate conditions in the container shipping sector.
1 Min Read
Kalyakan - stock.adobe.com
The Danish shipping company said it was reducing its expected result for 2015 to $3.4bn from $4bn, which it forecast in its second quarter results.
The cut in profit expectations is due to the collapse in rates in the container shipping sector. The full year profit outlook for Maersk Line has been cut from $2.2bn to around $1.6bn. The company said a $100 per feu drop in average freight rates have a $500m negative impact, which a 100,000 feu drop in volumes would cause a further $100m hit.
“Maersk Line has over the years taken steps to ensure a cost effective and resilient operation, but the current deterioration in the container shipping market is impacting also our business,” said Nils Andersen, ceo Maersk Group.
In the third quarter Maersk Line’s average freight rate was $2,163 per feu compared to $2,679 per feu in the same period a year earlier.
Maersk will release its Q3 results on 6 November.
Read more about:
MaerskAbout the Author
You May Also Like
Latest News
Feb 4 - Feb 5, 2025