French Ocean Carrier, CMA CGM, has released its financial results for 2023, recording a slight uptick in container throughput, while the company’s revenues dropped dramatically from the year prior.
CMA CGM reported a throughput of 21.8 million TEU for 2023, up 0.5 per cent from 2022. Revenue from the maritime shipping operations fell by 46.7 per cent year-on-year (YoY), to $31.4 billion.
EBITDA stood at $7.4 billion, versus $31.6 billion the year before. EBITDA margin contracted by 30.1 points to 23.6 per cent, impacted by the 47 per cent drop in average revenue per TEU for the year to $1,437.
“Gradual deterioration in the maritime shipping environment throughout 2023, including in the fourth quarter, causing an anticipated year-on-year decline in revenue and operating profit,” reported the liner in its yearly results announcement.
Full-year 2023 revenue stood at $47 billion, a 36.9 per cent YoY decline that was primarily attributable to the deteriorating conditions in maritime shipping markets.
EBITDA came to $9 billion, representing an EBITDA margin of 19.2 per cent that was down 25.5 points on the year before, while net income and Group share amounted to $3.6 billion.
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Commenting on the results for the year, Rodolphe Saadé, Chairman and Chief Executive Officer of the CMA CGM Group, said: “As our sector normalised, the Group’s performance remained solid in 2023.
“Shipping market conditions deteriorated progressively during the year. Our results are down as we expected. Logistics, on the other hand, is proving more resilient and accounts for a significant part of our business. Our Group now stands on two solid pillars, which will enable us to weather cyclical changes more efficiently.
“Backed by our financial strength and the commitment of our employees, we will continue to invest in the transformation of the Group, particularly decarbonisation and artificial intelligence, in order to pursue our sustainable and profitable development.”
A few days ago, the carrier took delivery of the first in a series of 10 new 2,000 TEU containerships powered by liquefied natural gas (LNG).
