ZIM's profit drops 76% in Q4 2022

Container ships of ZIM (Photo: Fleetmon)

ZIM's net profit for the fourth quarter of 2022 reached $417 million, down sharply from $1.71 billion in the fourth quarter of 2021, while annual profit still came in at $4.63 billion - roughly equal at the old level of $4.65 billion reached in 2021.

Full-year profit remained stable, despite the decline in Q4, due to an average freight rate per TEU of $3,240 for the full year of 2022, up 16% from 2021 figures. The average in the fourth quarter was 2,122 USD, down 42% compared to the same period last year.

Eli Glickman, President & CEO of ZIM, said: “While macroeconomic uncertainties, the precipitous decline in freight rates over the past few months and the supply-demand imbalance continue to drive a challenging near-term outlook for container shipping, we are confident in ZIM’s strategy and believe we will generate positive EBIT in 2023."

ZIM forecasts full-year adjusted EBIT between $100 million and $500 million, compared with an EBIT of $6.14 billion in 2022.

ZIM shipped 823,000 TEUs in the fourth quarter of 2022, down 4% year-on-year, while full-year output fell 3% at 3.38 million TEUs.

“In 2023 and beyond, our focus on leveraging digital strategies, operating a high-quality sustainable fleet, and further implementing our global niche strategy positions us well to best serve our customers and generate long-term sustainable value for our shareholders,” said Glickman.

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Source: Phaata.com (According to Seatrade-Maritime)

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