Maersk reports third-best financial year
COPENHAGEN : A.P. Moller – Maersk reports strong financial results for 2024 with growth across all segments and significantly improved profitability with EBIT increasing 65% to USD 6.5 billion. Results were driven by higher container demand and elevated freight rates in Ocean, top line and volume growth in Terminals and solid improvements in most Logistics & Services products. Given the strong results and the strength of the balance sheet, the Board of Directors proposes a dividend of DKK 1,120/share and also separately announced the initiation of a share buy-back programme of up to around USD 2bn to be executed over a period of 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
Vincent Clerc
CEO of A.P. Moller – Maersk
Profitability in Ocean improved compared to the previous year supported by a significant increase in freight rates reflecting the situation in the Red Sea and strong volume demand. High utilization and cost discipline ensured that Ocean operations were streamlined and able to tackle uncertainties. Operational costs were stable year-on-year, offsetting the increased costs and additional bunker consumption of re-routing the network south of the Cape of Good Hope.
Logistics & Services demonstrated resilience in 2024 with momentum building steadily each quarter culminating in volume growth, higher revenue and improved EBIT margin compared to 2023. Revenue grew 7% supported by solid growth in Warehousing, Air and First Mile product categories while profitability benefitted from progress in most products.
Terminals delivered its best ever financial results in 2024 with EBITDA and EBIT reaching record highs. This was driven by significant top line growth due to strong volumes along with inflation-offsetting tariffs increases, a better customer and product mix, and higher storage revenue.
Financial Guidance
Guidance is based on the expectation that global container volume growth in 2025 will be around 4% and that Maersk will 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’s outlook for 2025 is subject to considerable macroeconomic uncertainties impacting container volume growth and freight rates.
| Guidance 2025 | EBITDA Underlying | EBIT Underlying | Free cash flow (FCF) or higher | CAPEX guidance, maintained 2024-2025 | CAPEX guidance 2025-2026 |
|---|---|---|---|---|---|
| USDbn | 6.0 – 9.0 | 0.0 – 3.0 | -3.0 | 10.0 – 11.0 | 10.0 – 11.0 |
Total shareholder return
Maersk returned USD 1.6bn to shareholders during 2024 through dividends and share buy-backs. The demerger and spin-off of Svitzer returned USD 1.1bn to shareholders through a dividend in-kind.
In February 2024, the Board of Directors decided to suspend the share buy-back programme, with a re-initiation to be reviewed once market conditions in Ocean are settled. The Board of Directors has decided to initiate a share buy-back programme of up to DKK 14.4bn (around USD 2bn), to be executed over a period of 12 months.
Highlights for the year
Revenue
| USD million | 2024 | 2023 |
|---|---|---|
| Ocean | 37,388 | 33,653 |
| Logistics & Services | 14,920 | 13,916 |
| Terminals | 4,465 | 3,844 |
| Unallocated activities, eliminations, etc. | -1,291 | -348 |
| A.P. Moller – Maersk consolidated | 55,482 | 51,065 |
EBITDA
| USD million | 2024 | 2023 |
|---|---|---|
| Ocean | 9,186 | 6,940 |
| Logistics & Services | 1,447 | 1,251 |
| Terminals | 1,601 | 1,278 |
| Unallocated activities, eliminations, etc. | -106 | 122 |
| A.P. Moller – Maersk consolidated | 12,128 | 9,591 |
EBIT
| USD million | 2024 | 2023 |
|---|---|---|
| Ocean | 4,743 | 2,227 |
| Logistics & Services | 538 | 446 |
| Terminals | 1,329 | 980 |
| Unallocated activities, eliminations, etc. | -111 | 281 |
| A.P. Moller – Maersk consolidated | 6,499 | 3,934 |
CAPEX
| USD million | 2024 | 2023 |
|---|---|---|
| Ocean | 2,708 | 1,987 |
| Logistics & Services | 803 | 771 |
| Terminals | 580 | 541 |
| Unallocated activities, eliminations, etc. | 110 | 347 |
| A.P. Moller – Maersk consolidated | 4,201 | 3,646 |
Sensitivity guidance
Financial performance for A.P. Moller – Maersk for 2025 depends on several factors subject to uncertainties related to the given uncertain macroeconomic conditions, bunker fuel prices and freight rates. All else being equal, the sensitivities for 2025 for four key assumptions are listed below:
| Factors | Change | Effect on EBIT (Full year 2025) |
|---|---|---|
| Container freight rate | +/- 100 USD/FFE | +/- USD 1.3bn |
| Container freight volume | +/- 100,000 FFE | +/- USD 0.01bn |
| Bunker price (net of expected BAF coverage) | +/- 100 USD/tonne | +/- USD 0.4bn |
| Foreign exchange rate (net of hedges) | +/- 10% change in USD | +/- USD 0.3bn |