MAERSK continues its streak of big profits, with its 16th quarter in a row with year-on-year earnings increases. However, the company has signalled that earnings in its Ocean segment are expected to decrease.

The company’s three main segments increased earnings over the course of the third quarter of 2022, compared with the same quarter last year.

Total revenue increased by 37%, and EBITDA and EBIT increased about 60% compared with Q3 2021.

A.P. Moller – Maersk CEO Søren Skou said the third-quarter result was a record, and the 16th quarter in a row with year-on-year earnings growth.

“Ocean freight rates, which have driven the exceptional results we have delivered in 2022, were again up both year-on-year and compared to the second quarter. However, it is clear that freight rates have peaked and started to normalise during the quarter, driven by both decreasing demand and easing of supply chain congestion,” Mr Skou said.

“As anticipated all year, earnings in Ocean will come down in the coming periods. Our overall transformation momentum remained very strong as we continue to grow our Logistics business rapidly. For the first time, revenue in Logistics exceeded US$4 billion in one quarter, and we expect to continue to outgrow the market in Logistics based on new customer wins.”

The company reported its total revenue for Q3 increased to US$22.8 billion, EBITDA increased to US$10.9 billion and EBIT increased to US$9.5 billion. Maersk’s profit was US$8.9 billion for the quarter.

For the first nine months of 2022, Maersk reported a profit of US$24.2 billion – an increase of 35% on the full 12 months of 2021 (US$18 billion).

“With the war in Ukraine, an energy crisis in Europe, high inflation, and a looming global recession there are plenty of dark clouds on the horizon,” Mr Skou said.

“This weighs on consumer purchasing power which in turn impacts global transportation and logistics demand. While we expect a slow-down of the global economy to lead to a softer market in Ocean, we will continue to pursue the growth opportunities within our Logistics business. As a trusted partner, we are ready to support our customers in rethinking their supply chain needs through what is likely to be a period of a more volatile business environment.”

In Ocean, revenue increased over the quarter to US$18 billion and EBIT rose to US$8.7 billion. The company said this increase was mainly driven by significantly higher freight rates on contract and shipment on routes from Asia to Europe and to North America, partly offset by a decrease in volumes and by higher costs related to bunker, container handling and network.