AP Moller to shift its focus

Although Maersk Line and its other container shipping brands (Safmarine, MCC Transport and Seago) will remain one of the group’s four main business segments, the company declared that it will shift its growth focus in the next five years to the other three main business units – APM Terminals, Maersk Oil and Maersk Drilling – whose combined share of invested capital will be increased from 34% to above 45%.

The move reflects growing dissatisfaction with the poor returns on invested capital (ROIC) from the group’s container shipping operations which have lagged behind the other business segments.

The other two shipping related business units in the group (its terminal operating arm APMT and its logistics arm Damco) have consistently outperformed Maersk Line’s operating performance in recent years. The company has identified Damco as one of its four opportunistic cores – along with Svitzer, Maersk Tankers and Maersk Supply Service.