Hapag-Lloyd, the fifth largest container shipping line in the world by market share, saw its earnings before interest, taxes (EBIT) increase by 80% in the financial year 2019.
In a statement, the carrier attributed higher freight rates and what it called “rigorous cost and revenue management” for its EBIT increase of from $479.5 million to $875.9 million.
Its performance improved across the board, including earnings before interest, taxes, depreciation and amortisation (EBITDA) and revenue, which increased by 42% and 7.8% respectively; transport volume also increased by 1.3%.
In addition it also credited falling expenses for the handling and inland transport of containers, as well as a slightly lower average bunker consumption, which cut travel costs.
Hapag-Lloyd will publish its 2019 Annual Report and an outlook for the current financial year on 20 March 2020.