• A.P. Moller-Maersk has reported its third-best financial performance in 2024, with EBIT increasing by 65% to $6.5 billion
• The growth was driven by higher container demand and elevated freight rates, including all segments such as Ocean, Logistics & Services, and Terminals
• Maersk anticipates global container volume growth of around 4% and expects to expand in line with the market
A.P. Moller-Maersk reported its third-best financial performance in 2024, with earnings before interest and taxes (EBIT) increasing by 65% to $6.5 billion and growth across all segments, the company said in a statement.
This growth was driven by higher container demand and elevated freight rates in the ocean segment as well as top-line and volume growth in terminals and improvements in most Logistics & Services products.
Consolidated revenue grew to $55.5 billion in 2024 from $51.065 billion.
Owing to the strong results and the strength of the balance sheet, the Board of Directors has proposed a dividend of Danish krone (DKK) 1,120 (about $155) per share and has also announced the initiation of a share buy-back program of up to $2 billion to be executed over 12 months.
“Our ability to navigate shifting circumstances and ensure steady supply chains for our customers was put to the test throughout 2024. Our efforts were rewarded with record-high customer satisfaction. We successfully capitalized on increased demand while enhancing productivity and rigorously managing costs—all of which contributed to our strong financial performance. With three strong businesses—Ocean, Logistics & Services, and Terminals—plus integrated offerings across the supply chain, we are uniquely positioned to support our customers in an era where geopolitical changes and disruptions continue to reinforce the need for resilient supply chains,” said Vincent Clerc, CEO of A.P. Moller-Maersk.
The Ocean segment’s revenue grew to $37.39 billion in 2024 from $33.7 billion in 2023, driven by increased freight rates reflecting the situation in the Red Sea and strong volume demand.
EBIT improved to $4.74 billion from $2.23 billion.
Ocean operations were streamlined as a result of high utilization and cost discipline, the company said. Operational costs remained stable year-on-year, offsetting increased costs and additional bunker consumption as a result of re-routing the network south of the Cape of Good Hope.
The revenue of Logistics & Services grew by 7% to $14.9 billion, buoyed by solid performance in Warehousing, Air, and First Mile product categories, while profitability benefited from progress across most products.
EBIT rose to $538 million in 2024 from $446 million year-on-year.
Terminals achieved its best-ever financial results in 2024, with earnings before interest, taxes, depreciation, and amortization (EBITDA) and EBIT reaching record highs. Revenues improved to $4.47 billion from $3.84 billion.
This was driven by significant top-line growth due to strong volumes, inflation-offsetting tariff increases, an improved customer and product mix, and higher storage revenue, according to Maersk.
What lies ahead
Looking ahead, Maersk anticipates global container volume growth of around 4% in 2025 and expects to grow in line with the market. “It is further expected that 2025 is likely to show greater supply-demand imbalance with continued new deliveries in the container shipping industry and a potential re-opening of the Red Sea.
“Nevertheless, this imbalance may be largely offset by supply-side drivers and strong market demand. For the purposes of the financial guidance, Maersk assumes that the Red Sea re-opens mid-year for the low end of the guidance and re-opens at year-end for the high-end,” Maersk said.
Maersk’s outlook for 2025 is subject to several factors subject to uncertainties related to the given uncertain macroeconomic conditions, bunker fuel prices, and freight rates.
Maersk also returned $1.6 billion to shareholders during 2024 through dividends and share buy-backs. The demerger and spin-off of Svitzer returned $1.1 billion to shareholders through a dividend in-kind.
In February 2024, the board of directors decided to suspend the share buy-back program, with a re-initiation to be reviewed once market conditions in Ocean are settled.
