CMA CGM’s profit in Q3 2018 affected in wake of rising fuel prices

November 26, 2018: Container shipping company CMA CGM has reported revenue increase in the third quarter of the year. Its overall net income is however tumbling, in wake of the higher fuel cost.

The shipping major’s revenue rose 6.3 percent to $6.06 billion, while volumes carried climbed 5.5 percent to 5.26 million TEUs.

However, operating income took a hit, down 57.5 percent to $241 million, while net income group share fell 68.1 percent to $103.1 million.

“In a context of sharply rising fuel prices, CMA CGM core EBIT margin recorded a significant increase compared to the second quarter of 2018, at 4.0 percent. In a market growing by 2.5 percent to 3 percent, the increase in volumes shipped by CMA CGM demonstrates our commercial drive and the quality of service offered to our customers,” said Rodolphe Saadé, chairman and chief executive officer of the CMA CGM Group.

* Core EBIT excluding asset sales and depreciation and non-recurring items

** Twenty-Foot Equivalent Unit (TEU)

*** On 30 September