The corporate parent of ocean carrier Maersk updated its guidance for third-quarter financial results, and the numbers are eye-popping.
Copenhagen, Denmark-based A.P. Møller-Maersk A/S (CPH:MAERSK.A) in a release said that, based on preliminary unaudited figures, it will report revenue of $15.8 billion, underlying earnings before interest, taxes, depreciation and amortization of $4.8 billion and underlying earnings before interest and taxes of $3.3 billion for the third quarter of 2024.
“On the back of strong third-quarter results combined with strong container market demand and the continuation of the Red Sea situation,” the world’s second-largest container carrier now expects full-year 2024 underlying EBITDA of $11 billion-$11.5 billion, up from previous estimates of $9 billion-$11billion, and EBIT of $5.2 billion-$5.7 billion, up from $3 billion-$5 billion. Free cash flow totals $3 billion, from previous estimates of at least $2 billion.
Attacks on shipping in the Red Sea by Yemen-based Houthi rebels have led some carriers to reroute container and other cargo vessels on longer, more costly voyages to destination ports.
The robust market has led the company to update 2024 estimates several times this year.
Moller firmed up its outlook for volume growth in the global container market for full-year 2024 to around 6% from a prior estimate of 4%-6%.
The company will release full Q3 results on Oct. 31.
Find more articles by Stuart Chirls here.
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