ZIM expands in Australasia
NewsFollowing a service expansion in 2021, ZIM has now opened its own regional office in New Zealand.
ZIM books another loss
ZIM’s average freight rate per TEU in Q1 2017 rose just 1%, and the carrier is still operating in the red.
ZIM put a positive spin on its Q1 results, focusing on EBITDA, which improved from US$8.2M in Q1 2016 to US$57.4M in Q1 2017, generating a positive operating cash flow of US$33.8M.
“Since Q3 2016 we have been witnessing a positive trend in the industry with slightly improved freight rates in some trades. However, market conditions on the whole remained challenging and volatile.
“In the face of this tough business environment, ZIM continues to outperform the industry and achieve improved results. ZIM’s Q1 results reflect the constant improvement in the company’s performance, as a result of the comprehensive transformation the company has implemented in recent years. The company’s performance has been improving since the middle of 2015 and the adjusted EBIT of Q1 2017 was the highest since then,” the carrier said.
However, the carrier is still not operating profitably. Total volume rose to 598,000 TEU in the quarter (up 3.6% from 577,000 TEU), but the average freight rate earned inched up just 1.1% to US$953, an increase of just $10.
ZIM’s net loss in Q1 was U$6.4M, just over $10 for every TEU the liner carried.
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