ZIM closed the second quarter reporting revenues of 1.64 billion dollars, a 15% decrease compared to the 1.93 billion in the same period the previous year.
The worsening performance is mainly attributable to the downward trend taken by freight rates in the maritime transport market, which has become extremely volatile due to current geopolitical uncertainties. Spot freight rates have effectively decreased to an average of 1479 dollars per TEU in the second quarter of the year, while in the same period last year they had stabilized around an average of 1674 dollars per TEU.
Transported volumes are also down. In the period under review, the Israeli company handled 895 thousand TEU, 57 thousand less than the volumes recorded in the second quarter of 2024.
Operating profit (EBIT) saw a sharp decline, standing at 149 million dollars, 68% less than April-June 2024. Net profit stood at 24 million dollars, nearly 350 million less than the same period the previous year.
EBITDA stood at around 472 million dollars (-38% year-on-year).
“Despite market disruptions and volatility, in the second quarter we continued to leverage our capacity and improved cost structure” is the comment from ZIM’s CEO, Elick Glickman, highlighting how the company’s strength lies in the quality of its modern and competitive fleet and the efficiency of its commercial strategy “which allows us to respond quickly to changes in demand on our global trade routes.”
Given the current situation, ZIM has announced its intention to revise its 2025 forecasts upwards: “We forecast an adjusted EBIT between 550 and 950 million dollars” states Glickman, recalling that the original forecasts had been for an EBIT between 350 and 950 million dollars.
“We intend to draw on our transformed fleet and improved cost structure to continue creating long-term value for our shareholders, even in the face of difficult and unpredictable market dynamics.”
