Thursday , 23 January 2020
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CSAV merger boosts Hapag-Lloyd profits

Hapag-Lloyd’s 2015 results have revealed the benefit of its merger with Chilean line CSAV, with its profits rebounding in stark contrast to the doom and gloom in the container shipping industry.

Following a loss in 2014 of €383m (US$509m), the carrier made an operating profit (EBIT) of €366m (US$407) last year.

A revenue increase from €6,808m (US$9,046m) to €8,842 (US$9,814m), was “primarily attributable” to the merger with CSAV’s container business in December 2014, it said in a statement.

The German shipping line handled 7.4m teu last year, 25% more than its container volumes of 5.9m teu in 2014 although the average freight rate in 2015 declined to US$1,225 per teu from US$1,427 per teu in 2014.

Its EBITDA margin of 9.4% was in line with the company’s guidance.

In the fourth quarter of the year, EBIT was €18m (US$20m), compared to a €305m (US$336m) loss in the equivalent quarter the previous year.

The Hamburg-based carrier is currently the fifth largest shipping line globally although it will soon be overtaken once the COSCO and China Shipping merger is completed.