Brief analysis of 2024 performance of major shipping and logistics companies

Major global container shipping companies have successively announced their financial reports for 2024 at the beginning of 2025 and some are still optimistic in the profitability in the first half of 2025.

Maersk

On February 6, the world's leading container shipping company, Maersk, announced its financial report for 2024. Benefiting from a strong recovery in the shipping market and comprehensive business growth, Maersk achieved a significant increase in net profit for 2024.

According to Maersk's 2024 financial report, the company generated operating revenue of $55.48 billion during the reporting period, marking an 8.65% year-on-year increase. Profitability significantly improved, with earnings before interest and taxes (EBIT) rising by 65% to reach $6.5 billion.

HMM

On February 11, HMM, the world's eighth-largest shipping company, announced its financial performance for 2024.

Data showed that in 2024, HMM's revenue reached 11.7 trillion won (approximately $8.05 billion), a year-on-year increase of 39%. The net profit was 3.781 trillion won (approximately $2.6 billion), up 290% year-on-year. Operating profit soared to 3.513 trillion won (approximately $2.417 billion), marking a remarkable increase of 501%.

Looking at the fourth quarter of 2024, HMM's operating profit skyrocketed by 2253% to 1 trillion won (approximately $688 million).

Hapag-Lloyd

On January 30, 2025, Hapag-Lloyd released preliminary business data for 2024, indicating a slight increase in EBITDA and EBIT compared to 2023, with a 5% increase in transport volume reaching 12.5 million TEUs. The average freight rate for 2024 was $1,492 per TEU, which was essentially flat compared to the previous year (2023: $1,500 per TEU), showing a slight decline of $8 per TEU below market expectations.

According to preliminary and unaudited data, Hapag-Lloyd achieved a group EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of $5 billion (€4.6 billion) for the fiscal year 2024. The group EBIT (Earnings Before Interest and Taxes) also saw a modest increase compared to the previous year, reaching $2.8 billion (€2.6 billion). Both of these key figures fell within the upper range of the adjusted profit forecast for 2024 announced in October. The official annual report for 2024 will be released on March 20, 2025.

C.H. Robinson

C.H. Robinson Worldwide, Inc. ("C.H. Robinson") announced its quarterly financial performance and annual report for the period ending December 31, 2024. In the fourth quarter, North American Surface Transportation (NAST) truckload and less-than-truckload (LTL) gross profit per shipment (AGP) improved year-on-year and quarter-on-quarter, driving a 40% year-on-year increase in adjusted operating income for NAST.

One

Japanese shipping company ONE released its report for the third quarter of fiscal year 2024 (which corresponds to the fourth quarter of the calendar year 2024) on January 31, 2025. Ocean Network Express (ONE) reported revenue of $4.846 billion for the period from October to December 2024, a 44% year-on-year increase. The net profit was $1.156 billion (up from a loss of $83 million in the same period last year, an increase of $1.239 billion year-on-year).

ONE stated that it expects to achieve a profit of $4.034 billion for the fiscal year 2024 (from April 2024 to March 2025), exceeding the previous forecast of $939 million, thanks to robust performance in the first three quarters.

As the traditional off- season approaches, a slowdown in cargo transportation is expected, alongside increasing uncertainty in the business environment. Despite a gradual loosening of the supply-demand balance, the market continues to show some resilience. It is anticipated that after the Spring Festival, the supply-demand relationship will gradually recover, and transportation activities are expected to rebound.

Cosco

In 2024, Cosco Shipping Holdings container shipping business achieved both volume and price increases, and its operating results were remarkable. According to preliminary calculations in the announcement, the company's profit before interest and tax (EBIT) in 2024 was approximately RMB 69.926 billion, a year-on-year increase of approximately 90.67%; the company's net profit was approximately RMB 55.372 billion, a year-on-year increase of approximately 94.99%. Among them, net profit attributable to shareholders of listed companies was approximately RMB 49.082 billion, a year-on-year increase of approximately 105.71%.

The above forecast data are only preliminary calculations based on corporate accounting standards. The specific and accurate financial data must also be based on the 2024 annual report officially disclosed by the company.

Evergreen, Yangming and Wanhai

In December 2024, the revenue of Taiwan's three major shipping companies (Evergreen, Yangming and Wanhai) increased by more than 60% year-on-year. The annual revenue benefited from the Red Sea crisis and supported freight rates. Maintain at a relatively high level, creating the third highest in history, second only to 2022 and 2021.

Looking ahead to 2025, the three major container shipping companies emphasized both challenges and opportunities. The primary challenge remains the oversupply of shipping capacity. The biggest opportunity lies in the ongoing conflict in the Middle East, which is expected to prolong the Red Sea crisis, absorbing excess capacity and supporting freight rates at relatively high levels. At least in the first half of the 2025, the profitability is expected to remain optimistic.