German container shipper Hapag-Lloyd posted a 50% drop in nine-month net profit to 846 million euros ($989 million) on Thursday and lowered the top end of its full-year earnings forecast, blaming volatile
German container shipper Hapag-Lloyd posted a 50% drop in nine-month net profit to 846 million euros ($989 million) on Thursday and lowered the top end of its full-year earnings forecast, blaming volatile markets and pledging to be strict on costs.
The company revised its full-year earnings before interest and taxes (EBIT) projection to between 500 million and 1 billion euros, trimming the upper end from a previous range of 200 million to 1.1 billion euros announced in its August earnings.
Security concerns in the Red Sea that necessitated longer re-routings and frequent shifts in U.S. trade policy have contributed to unstable demand and port congestion in the shipping industry, a bellwether of global economic trends.
"We have to ensure that we will maintain strict cost discipline," Chief Executive Rolf Habben Jansen said on a call with analysts.
Shares in the company, in a small free float of 3.6%, fell 4.6% by 1140 GMT.
Habben Jansen said that the company was seeing the first cost advantages from its new Gemini cooperation with rival Maersk that covers major East-West trades, helping to recoup start-up expenses and due to bring more savings in 2026.
Transported volumes increased 9% to 10.2 million twenty-foot equivalent
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