CMA CGM’s volume falls amid COVID-19 pandemic

CMA CGM’s volume fell by 4.6% year-on-year (YoY) in the first quarter of the 2020 due to global uncertainty caused by the COVID-19 pandemic.

In its latest financial results, the carrier, the fourth biggest in the world, described its performance as a “limited decline” that demonstrated the “resilience of the shipping industry”.

Additionally, the carrier’s revenue and earnings before interest, taxes, depreciation and amortization (EBITDA) fell by 3% and 24% respectively.

The fall can be largely attributed to the effects of the pandemic, which has seen carriers’ and ports’ volumes fall across the globe, as factory output drops and trade restrictions are put in place to prevent the spread of the coronavirus.

CMA CGM credited the “contained decrease” to its “diverse range of industries” and “complementary nature” of the its shipping and logistics activities.

Rodolphe Saadé, Chairman and Chief Executive Officer of the CMA CGM Group, commented: “The good results of the first quarter demonstrate the strength and the resilience of the Group.

“During this unprecedented crisis, our customers have been able to rely on our agility, the expertise of our teams and the complementarity of our logistic and maritime offers, in order to ensure the continuity of their supply chains.

“Despite the uncertainty around global economy, we anticipate an improvement during the second quarter, thanks to our operational flexibility and our discipline in terms of cost control.

“The current situation reinforces our conviction that it is essential to develop better balanced economic exchanges, whilst respecting the environment. We have set Carbon neutrality by 2050 as our objective and we are ready to face future challenges.”

https://www.porttechnology.org/news/cma-cgms-volume-falls-amid-covid-19-pandemic/