Shipowner CMA CGM reported another sharp drop in quarterly profit on Friday as the rush on shipping triggered by the COVID-19 pandemic continues to fade.
However, volumes increased year-on-year as stock clearances in the United States were offset by strong demand in other parts of the world.
The economic slowdown has exacerbated the decline in shipping prices from record levels reached following the COVID-19 pandemic, which saw CMA CGM achieve record profits.
Danish rival Maersk MAERSKb.CO said last week it would cut 10,000 jobs, citing market conditions that remain weak.
Freight rates have stabilized around 2019 levels, but it is very difficult to anticipate the trend in 2024, Ramon Fernandez, CMA CGM’s chief financial officer, told reporters.
“There are probably more risks than opportunities on the demand side,” he said.
The maritime transport giant based in Marseille was thus cautious for 2024, the prospects of a rebound in world trade when American companies have finished reducing their stocks being tempered by weak economic growth and expected new capacities continuing to decline. weigh on freight rates.
CMA CGM, privately controlled by the founding Saadé family, reported third-quarter net profit of $388 million, down from $7.04 billion a year earlier.
Ebitda fell to $2 billion from $9.1 billion in the same period of 2022.
(Gus Trompiz report, French version Diana Mandiá, edited by Blandine Hénault)