On May 2, Maersk released its first quarter 2024 financial results. The data shows that the company performed in line with expectations with a strong revenue recovery compared to Q4 2023 due to the good performance of the terminal business and the combined effect of increased demand and the ongoing Red Sea crisis.
YoY volume growth across all business segments
• Strong recovery in earnings sequentially with EBIT of USD 177m (1.4% margin)
• Ocean: Strong market demand and longer Red Sea disruption leading to higher rates, network re-configured to tackle disruption, continued strong cost management
• Logistics & Services: Volume growth in all product families, focus on restoring profitability, margins challenged by implementing Ground Freight contract wins in North America and Warehousing whitespace
• Terminals: Continued strong performance and investments in growth
• Lower end of guidance range raised – supported by strong container market and Red Sea disruption likely to remain into H2 ’24
In anticipation of the current market environment continuing into the second half of the year, Maersk has raised its full-year financial expectations to the lower end of the range and now expects actual EBIT to be -$2 billion to $0 billion.
