CMA CGM Releases First-Quarter 2013 Results
The Board of Directors of France’s CMA CGM, the world’s third largest container shipping group, met under the chairmanship of Jacques R. Saadé, Chairman and Chief Executive Officer, to review the financial statements for the three months ended 31 March 2013.
Consolidated revenue rose by 6% in the period
, to $3.8 billion from $3.6 billion in the first three months of 2012. The increase resulted from 3% growth in volumes carried (2.7 million TEUs in first-quarter 2013 compared with 2.6 million TEUs in the prior-year period) as well as a 3% rise in freight rates.
Profitability rose sharply in the first three months of 2013 with EBITDA amounting to $258 million, compared with a loss of $31 million in first-quarter 2012, for an EBIT margin of 5.1%, one of the industry’s highest. Consolidated net profit stood at $102 million for the period.
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CMA CGM also continued to strengthen its balance sheet by:
– Sharply reducing net debt to $4.2 billion at 31 March 2013. This was $1.1 billion less than one year earlier and $0.4 billion less than at 31 December 2012.
– Significantly improving equity to $4.2 billion, an increase of $640 million compared with one year earlier and an increase of $112 million since 31 December 2012.
Outlook
Since the Chinese New Year, freight rates have declined considerably, especially in the Asia/Europe market. In today’s still volatile market conditions, CMA CGM should produce better-than-average results thanks to the diversity of its geographic exposure and its ability to effectively manage its cost structure.
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Financial highlights
*In first-quarter 2013, the Group reported consolidated net profit of $96 million, compared with a loss of $248 million in the prior-year period.
**TEU = twenty-foot equivalent units
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