A P Moller – Maersk CEO Søren Skou described the past year as “an unusual one - characterised by a cyber-attack and operational challenges in a few hubs.
“We succeeded in growing the revenue by 13%, improving cash flow and increasing underlying profits from a low 2016 base. However, the financial result shows that significant improvements are still needed,” he said.
Highlights from 2017 include US$ 14 billion worth of M&A transactions, including the acquisition of Hamburg Süd, agreement to sell Maersk Oil, sale of Maersk Tankers and Mercosul - the Brazilian container line - as well as the sale of the remaining 19% stake in Dansk Supermarked Group. Additionally, structural solutions for Maersk Drilling and Maersk Supply Service are expected before the end of 2018.
Stronger cooperation between Maersk Line and APM Terminals generated the first integration synergies of around US$ 0.1bn despite negative impact from the cyber-attack and operational challenges in key hubs, he added.
Commenting on the acquisition of Hamburg Süd, he said it was an important part of the Maersk growth strategy. “Together, the two carriers have around 19% global capacity market share and more than 4 million TEUs in container capacity. The German-based carrier will remain an independent brand, with only operational aspects merging with Maersk Line.”
For 2018 the company expects an underlying profit above 2017 (US$ 356m) and earnings before interest, tax, depreciation and amortisation (EBITDA) in the range of US$ 4-5bn compared to US$ 3.5bn in 2017.
