NEW York-listed Israel-based liner operator Zim Integrated Shipping Services (Zim) has posted a net loss of US$213 million for the second quarter of the year, well below the $1.34 billion net profit recorded during the same period in 2022.
Revenue in the three-month period totalled $1.31 billion, down from $3.43 billion revenue in the same three-month period last year.
The carrier attributed the lower results to a much weaker container market in which Zim maintained an average freight rate of $1,193 TEU during the quarter which is less than a third of the average freight rate sustained a year ago.
Zim carried 860,000 TEU in container volume for the quarter, up from 856,000 TEU transported during last year's second quarter.
Chief executive Eli Glickman said: "We continue to take proactive steps to respond to current market realities, with a focus on minimizing costs while optimizing our commercial strategy.
"We have taken action to rationalize our existing capacity and routinely review our services to adapt our network to customer preferences and identify new commercial opportunities."
However, Mr Glickman pointed out that the carrier's $3.2 billion cash position will allow it to "maintain a position of strength" in a prolonged weak market.
For the first half of 2023, Zim posted a net loss of $271 million down from $3.05 billion in net profit for the first six months of 2022.
Revenue totalled $2.86 billion for the first half of 2023, down from $4.63 billion in revenue collected during the first half of 2022.
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