Hapag-Lloyd achieves net profit in third quarter Net profit of EUR 8.2 million in Q3, 2016, which is a great operating result after nine months, considering the current state of the industry.
Hapag Lloyd’s transport volume was up 1.3% with an average freight rate decrease of 17.7%; transport expenses also fell by 14.2%.
Hapag-Lloyd closed the third quarter with a net profit of US$8.8 million; they state that their main focus going forward is on further cost optimization, start of THE Alliance and completion of transaction with UASC.
Hapag-Lloyd was able to generate a positive operating result of approximately $30 million in the first nine months of 2016.
Rolf Habben-Jansen, CEO of Hapag-Lloyd, said: “The market has been very difficult so far this year, but in that environment, Hapag-Lloyd has performed relatively well, which underlines our competitiveness, and we are pleased to report a net profit in the third quarter.
“The overall results so far this year remain unsatisfactory, but the net profit in Q3 indicates that we are on the right track and that our efforts to further reduce costs and to leverage economies of scale are paying off.
“Our main focus for the upcoming quarters will be to further optimize our cost position, ensure a smooth implementation of THE Alliance and to complete the transaction with UASC, to further solidify our position in this consolidating industry’’
In the first nine months of 2016, Hapag-Lloyd transported a total of 5.65 million TEU, around 1.3% more than in the prior year period. The average freight rate fell sharply, decreasing by 17.7% year on year in the period from January to September