Maersk profit forecast improves for 2020

Maersk is changing its position in 2020 based on the preliminary figures for the third quarter and the current outlook for the fourth quarter. “AP Moller – Maersk is on track to deliver a strong third quarter with solid profit growth in all of our businesses, particularly in Ocean and Logistics & Services. The volumes have recovered more rapidly than expected, our costs remained well under control, and freight rates increased due to strong demand”, said Søren Skou, CEP of A.P. Moller – Maersk.

The outlook for 2021 remains uncertain due to the ongoing pandemic. The positive impact of stimulus packages may be weaker in 2021, potential new blockages may impact demand, and the timing and effectiveness of a potential vaccine will also be a factor in 2021”.

The company now reports unaudited revenue of $ 9.9 billion and an EBITDA (before restructuring and integration costs) of $ 2.4 billion for the third quarter of 2020, driven by a continued recovery in demand and cost-improvement initiatives. Ocean volumes decreased by approximately 3 percent in the third quarter of 2020 compared to the previous year, which is slightly better than the anticipated contraction which was greater.

A.P.Moller – Maersk expects to assume a restructuring cost of around US$ 100 million in the third quarter of 2020 related to the layoffs of approximately 2,000 employees due to the changes in the organization of Ocean and Logistics & Services announced on September 1, 2020.

Given the third-quarter results and the current momentum of gains that we see in all businesses, EBITDA for the year 2020 should be close to US $ 7.5-8.0 billion, before the restructuring and integration costs (previously US$ 6.0-7.0 billion). All other guidance parameters released on August 19 remain unchanged.

Trading conditions for the coming quarters remain subject to greater-than-normal uncertainty, given the interruptions caused, or potentially caused, by COVID-19.

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