Hapag-Lloyd’s earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 0.9% year-on-year (YoY) in 2020 as it continues to do well despite the COVID-19 pandemic.
The carrier made approximately $3 billion and its earnings before interest and taxes (EBIT) rose by 0.6% from $0.9 billion to $1.5 billion. Revenues also increased from $14.1 billion to $14.6 billion, but TEU volume decreased by 0.2%.
It attributed the positive financial performance to improved freight rates and lower bunker prices, as the successful implementation of its Performance Safeguarding Program.
Hapag-Lloyd is the latest major container shipping line to benefit from the current business environment, A.P. Moller-Maersk, MSC and others all experienced higher revenues throughout 2020.
The carrier will publish its 2020 Annual Report with the audited financial figures and an outlook for the current financial year on 18 March 2021.
In December 2020 it signed a deal for six 23,000 TEU vessels in a deal worth approximately $1 billion.