Hapag-Lloyd CEO: Consignment Market Is Still Challenging

- May 16, 2018-

Hapag-Lloyd recently announced its first-quarter results in 2018. The company’s net loss was 34.3 million euros (approximately US$41 million), which was almost halved from the net loss of 58.10 million euros in the same period of last year. weld overlay flange


At the same time, the company’s EBITDA for the first quarter reached 219.4 million euros, which was higher than the 135.3 million euros for the same period of last year. However, Hapag-Lloyd emphasized that due to the merger of the company and the Arabian ship last year, the profit last year was relatively limited.


Rolf Habben Jansen, CEO of Hapag-Lloyd, stated that the company had a steady start in the first quarter of 2018, but the market environment remains challenging. Consolidated freight rates are still under downward pressure, fuel costs and freight costs in major markets are still rising, while the dollar exchange rate is favorite. However, higher box volumes and synergies also provided positive results. The company expects that the container shipping market will gradually improve throughout the year 2018. piping spool


Hapag-Lloyd said that the company's first-quarter revenue and container shipments have both increased. The company’s revenue increased from 2.1 billion euros in the same period last year to 2.6 billion euros. Container traffic grew by 47.9% year-on-year, mainly due to the acquisition of Arab ships.


Hapag-Lloyd said that in the first quarter of 2018, the average freight rate of the container shipping market was US$1,029/TEU, which was a slight increase compared with US$1,056/TEU in the same period of last year. It also reflected the intense competition in the container shipping market environment.