CMA CGM’s third-quarter revenue rose by 6.3% from the same time in 2017, despite rising fuel prices and the uncertainty brought on by the US-China trade war.
The French ocean carrier, the fourth biggest in the world, saw its revenue rise from US $5.7 billion to $6 billion.
Its fleet rose by 3.5% from 489 vessels in 2017’s third quarter to 506 – and its TEU capacity jumped by 7.5% from 2.5 million to 2.69 million.
Overall, volumes shipped also spiked by 5.5% as it handled over five million containers. The biggest reason behind this increase, CMA CGM said, was the strength of its Transpacific, India/Ocean and Africa lines.
Another significant contributor was its partnership with Swiss supply chain firm CEVA Logistics.
In October 2018 CMA CGM bought 33% of CEVA Logistics after a buyout offer from Danish freight company DSV was rejected.
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Speaking about results, Rodolphe Saade, CMA CGM’s CEO, said: “In a context of sharply rising fuel prices, CMA CGM core EBIT margin recorded a significant increase compared to the second quarter of 2018, at 4.0%.
“In a market growing by 2.5% to 3%, the increase in volumes shipped by CMA CGM demonstrates our commercial drive and the quality of service offered to our customers.
“By strengthening the partnership with CEVA, CMA CGM is actively engaging its logistics strategy.
“Our ambitious development project for CEVA was approved by its Board of Directors.
“Subject to approval from the regulatory authorities, this project will accelerate CEVA’s transformation, making it a more efficient logistics leader, to the benefit of its customers, employees and shareholders.
“Via a takeover bid, we hope to obtain the majority of CEVA's share capital and unleash its full potential.”
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