Total vessel capacity waiting at ports increased to 1.94m teu or 6.5% of the fleet at the end of last week, with a growing number of ships waiting at Chinese ports. While port operations at Chinese ports remain normal, the rising number of ships waiting was due to scheduled delays for vessels phasing in/phasing out as well as ships entering and leaving drydock in China. The congestion situation in South Africa has continued to deteriorate with delays extended up to 10 days. Total capacity waiti
Hapag Lloyd’s earnings during 3Q fell back to the pre-2020 level. Yet. Hapag Lloyd still lead the liner peers on EBIT margin and Return on Equity (RoE). Hapag-Lloyd has been consistently generating better EBIT margin than the other top 5 liners, save for COSCO, which are on a different set of accounting policies. The better RoE is attributable to both higher EBIT margin and better capital efficiency. Hapag-Lloyd has been cutting its fuel costs by both higher fuel efficiency and scrubber fittin
Taiwanese carriers reported 3Q 2023 financial results last week with their earnings decline accelerating in spite of the volume recovery. Aggregating the liners’ top line breakdown, volume was up 4% QoQ and 2% YoY while unit revenue was down 11% QoQ and 58% YoY. Interest and liquid investment income have become a significant addition to the carriers’ bottom lines as their cash balances are now comparable to the fixed assets on their balance sheets. Several off the charts data in EMC’s 3Q result
Zim recorded a net loss of $2,270m in the 3rd quarter, due mainly to a non-cash asset impairment write down of $2,063m. Adjusted EBIT losses excluding the non-cash items stood at -$213m for an EBIT margin of -16.7% which places Zim at the bottom of the carrier EBIT margin rankings for the 2nd consecutive quarter. Zim will receive a boost to its earnings of over $150m per quarter as a result of the impairment charge due to lower depreciation expenses going forward but it will not be enough to l
Key take aways from the 11 liner's 3Q results. The 11 liners represent 66% global container liner capacity. Figures in the following are aggregates of the 11 liners unless stated otherwise. 1. Liners were down to breakeven point. The average EBIT margin fell to negative 0.1% or broadly operating breakeven if we exclude only the liners that have made material provisions/write-back (COSCO); inorganic growth (Evergreen); and stopped to report (CMA CGM). Including COSCO, Evergreen and
Sinokor has launched a new Pusan-China-Indonesia 2 (PCI2) service connecting Busan, Kwangyang, Singapore, Jakarta, Haiphong, Shekou, Shantou, Xiamen, Incheon, Ulsan, Busan from 22 November 2023 using 4 ships of 1,800-2,100 teu (MANILA VOYAGER 2105 teu, BRIGHT COSMOS 1911, SAWASDEE VEGA 1809, SAWASDEE MIMOSA 1809 teu). The service will replace the former Korea Indonesia 2 (KI2) service that was operated jointly by Sinokor with HMM and KMTC that was withdrawn in October 2023.
The global containership fleet has passed 28m teu last week, with total new ship deliveries since the start of this year reaching 1.94m teu. More than 1 new ship has been delivered each day since June this year, with the same pace to continue through the next 12 months. Carriers are facing a difficult time maintaining recent freight rate gains in the face of the capacity influx, with vessel scrapping and idling remaining at very low levels. The freight rates (SCFIS) were down between 80% and 9
Easing volumes especially to the US West Coast are starting hit spot freight rates with SCFI rates to USWC dropping by 8% last week. Zim’s surprise decision to relaunch the eCommerce Express (ZEX) service has sparked another round of rate cuts which has prompted CMA CGM to reconsider its plan to launch a similar express service in December. USEC rates are holding their ground as carriers continue to raise concerns over the Panama canal transit restrictions (in number of containership passage pe
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202347] The global containership fleet has passed 28m teu last week, with total new ship deliveries since the start of this year reaching 1.94m teu. More than 1 new ship has been delivered each day since June this year, with the same pace to continue through the next 12 months. Carriers are facing a difficult time maintaining recent freight rate gains in the face of the capacity influx, with vessel scrapping and idling remai
Abu Dhabi Ports (AD Ports), the owner of Safeen Feeders, is reported to be in talks to acquire Indonesia’s Meratus Line in a transaction that could be valued at $2Bn. Meratus was reported to be seeking to sell its shipping and logistics business since July 2023, and AD Ports has emerged as the front runner in sales process. Meratus was established in 1957 in Surabaya, Indonesia and is the largest domestic operator in Indonesia. The company expanded its services to Papua New Guinea in February 20