CMA CGM Holds Firm in Difficult Environment

(Press Release)
Friday, December 02, 2011

 Volumes carried rose by 10% year-on-year to 2,604 million teus in the third quarter of 2011, confirming that CMA CGM is benefiting from the size and modern technology of its ships. Over the first nine months of the year, volumes carried were up by 9.4%, for a total of 7.42 million teus. Consolidated revenue stood at $3,856 million for the quarter, up 2.8% over the prior-year period, and at $11,086 million for the first nine months, up 5.2% year-on-year.  At a time of market overcapacity and high oil prices, for the first ninemonths consolidated EBITDA remained positive at $672 million and the Group reported a net profit of $13.2 million.  At 30 September, the Group's cash position remained amply positive, at $763 million, with all of the year's capital expenditure already committed. 

Outlook and Action Plan: The global economic environment remains challenging and demand is still being impacted by overcapacity. Nevertheless, CMA CGM Group believes that the situation will change in the coming months and expects to see an upturn in demand in 2012, led by the persistent growth in the container shipping industry, which is steadily gaining market share from other transport modes, and the market-driven moves to rationalise current shipping lines. As announced last September, the Group has decided to deploy a vigorous action plan to reduce full-year costs by $400 million, which will deliver its full impact in 2012 It will involve rationalising lines and capacity, renegotiating vessel charter rates, implementing innovative technical solutions to improve vessel fuel efficiency,  and continuing to implement the ship and container asset disposal program. In addition, CMA CGM has announced the creation of a leading partnership with MSC, the world's second largest container shipping group. The operating agreement, which concerns the Asia-Northern Europe, Asia-Southern Africa and South American trades, is designed to substantially improve the Group's performance and generate major operating synergies.

 

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter July 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

No Clues on Hanjin's Financial Health

Cash-strapped Hanjin Shipping Co. sources say that the negotiations with tonnage providers for lower rates are undergoing, but wouldn't say much else.   According to Korea Herald, the country's No.

DP World's H1 Volumes Rise

Ports operator DP World reported on Tuesday first-half 2016 gross container volumes up 1.2 percent on a like-for-like basis and up 2.5 percent on a reported basis.

Samil PwC Okays Hyundai's Management Improvement Plan

Hyundai Heavy Industries (HHI) is notified by Samil PwC, a local member of the global accounting firm PwC, that its 3.5 trillion won worth management improvement

Container Ships

Panama Canal: Assessing the Risk & Reward

The Panama Canal’s impact on shipping routes and vessel sizes since it opened in 1914 is undisputed. This will continue with the opening of a third channel for larger vessels in 2016.

New Container Facility at Krishnapatnam Port

Krishnapatnam Port, India's largest all-weather; deep water port on the east-coast of India has inaugurated CONCOR’s - Port Side Container facility – a Government of India undertaking.

DP World's H1 Volumes Rise

Ports operator DP World reported on Tuesday first-half 2016 gross container volumes up 1.2 percent on a like-for-like basis and up 2.5 percent on a reported basis.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Salvage Ship Repair Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0939 sec (11 req/sec)