Hapag-Lloyd Raises Its Forecast For 2020 In A Strong Market

- Oct 16, 2020-

image



German Hapag-Lloyd Shipping Company stated that the container shipping market performed much better than expected in the third quarter of 2020, which pushed up earnings.


  According to preliminary findings, Hapag-Lloyd’s profit before interest and taxes (EBIT) increased significantly in the third quarter of 2020 to approximately 350 million euros (2019: 253 million euros).


   Earnings before interest, taxes, depreciation and amortization (EBITDA) rose to approximately 650 million euros (2019: 554 million euros). Transaction volume fell by 3% year-on-year, but much better than expected a few months ago.


  Hapag attributed the positive development of the business to the significant increase in demand and transportation, as well as strict cost and revenue management.


   Therefore, the company updated its EBITDA and EBITDA guidelines from 1.1 billion euros and 2.4 billion euros to 2.6 billion euros, respectively.


   "Due to the positive market development and a series of measures we have introduced in recent months, we expect the performance of this fiscal year to be much higher than our previous forecast," said CEO Rolf Habben Jansen.


   "However, for the entire logistics industry, the epidemic will still be a huge challenge and a major source of uncertainty."


  Hapag-Lloyd's raised its forecast A few days ago, due to the faster-than-expected market recovery, the industrial giant Maersk raised its 2020 guidelines.


   In addition, the rating agency Moody's Investors Service raised Hapag-Lloyd's credit rating by one notch, from a negative outlook of "B1" to "Ba3", with a stable outlook.


   This is the highest credit rating given to Hapag-Lloyd since Moody's began rating it in 2010. In addition, the senior unsecured bond rating was upgraded from “B3” to “B2”.


   Moody's admitted that the container shipping market, especially the Hapag-Lloyd container shipping market, performed very strongly during the pandemic and better than expected. Therefore, Hapag-Lloyd's credit indicators continue to strengthen in the first half of 2020.


   Last week, the rating agency Standard & Poor's upgraded Hapag-Lloyd's credit rating from "B+" to "BB-", with a positive outlook.


Relevant freight rates Shenzhen Guangzhou Pearl River Delta Hong Kong Shanghai Ningbo Xiamen Qingdao Tianjin Dalian

Port of departure Port of destination Shipping company 20GP 40GP 40HC Validity Details

Shekou, Shenzhen Navashiwa HPL 950 1700 1700 2020-10-01-2020-10-15 Details

Yantian, Shenzhen Rotterdam HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Yantian, Shenzhen Rotterdam HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Shekou, Shenzhen Piraeus HPL 1150 2150 2250 2020-10-01-2020-10-14 Details

Yantian, Shenzhen Rotterdam HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Shekou, Shenzhen Genoa HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Yantian, Shenzhen Le Havre HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Yantian, Shenzhen Antwerp HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Yantian, Shenzhen Antwerp HPL 1150 2200 2300 2020-10-01-2020-10-14 Details

Shekou, Shenzhen Flowserve HPL 1150 2200 2300 2020-10-01-2020-10-14 Details



Previous:No Information Next:India BIS Adds 12 New Compulsory Certification Products