• 2019 November 25 13:02

    CMA CGM Group posts Q3 2019 results

    The Board of Directors of the CMA CGM Group, a world leader in shipping and logistics, has met under the chairmanship of Rodolphe Saadé, Chairman and Chief Executive Officer, to review the financial statements for the third quarter of 2019.
     
    A solid operating performance in third quarter 2019

    Sustained 5.1% growth in volumes carried
    In the third quarter of 2019, revenue rose by 25.8% year on year to reach USD 7,623.9 million, while volumes carried by CMA CGM were up 5.1% compared to the third-quarter 2018. This growth comes primarily from the growth of the Group short sea business (integration of Containerships) and a push to rebalance our trades to help reduce our OPEX.
     
    Solid operating performance and faster deployment of the cost reduction programme
    During the third-quarter of 2019, the Group further enhanced its operating performance, led by its shipping activity. In particular, this reflected the optimised use of its state-of-the-art fleet and the ability to adapt its organisation to market developments.
     
    Ongoing deployment of the performance improvement plan delivered a further reduction in unit operating costs of USD 25 per twenty-foot equivalent unit (TEU), compared with the second quarter of 2019 and of USD 89 per TEU, compared to the third quarter of 2018.
     
    Core EBITDA came in at USD 1,011.6 million as reported, and at USD 384 million, up 5.3%, excluding the impact of IFRS 16 and the contribution from CEVA Logistics. The Group’s EBITDA margin reached 13.3%, representing a significant improvement on third quarter 2018.
     
    Net profit from shipping operations increased sharply to USD 158.9 million, versus USD 103.1 million in the prior-year period. The Group’s profit in the third quarter represented USD 45.4 million.
     
    Sustained implementation of CEVA Logistics’ turnaround plan
    CEVA Logistics’ integration is proceeding according to the strategic plan. The new Marseille-based operations centre is enabling the Group to leverage the disciplined management of its logistics operations and generate revenue synergies with the signing of several new contracts. However, CEVA Logistics’ exposure to the automotive and technologies industries is continuing to dampen demand in both the Freight and the Contract Logistics services segments. In addition, the significant investments made to transform CEVA Logistics are also weighing on margins in the short term.
     
     
    A stronger balance sheet
     
    In line with the CEVA Logistics acquisition financing plan, the Group has lightened its capital structure by divesting and refinancing certain of its assets. These transactions should enable the Group to raise more than USD 2 billion in cash by mid-2020, extend the Group’s debt maturities and reduce its net debt by more than USD 900 million.
     
    The plan includes:
     
     USD 860 million from vessel sale and leaseback transactions (of which USD 650 million already completed during Q3 2019 and an additional USD 210 million scheduled to close over the coming weeks). The proceeds will primarily be used to pay down the loan contracted to acquire CEVA Logistics, with the balance currently standing at USD 200 million.
     
     USD 968 million from the sale of stakes held by CMA CGM in ten port terminals to Terminal Link, a joint venture (set up in 2013 and owned 51% by CMA CGM and 49% by China Merchants Port) that currently holds stakes in 13 port terminals. Terminal Link will finance these acquisitions through a capital increase of USD 468 million subscribed by CMP and a loan by CMP that in 8 years will be converted into a capital increase subscribed by CMA CGM. The transaction, which is subject to antitrust and other regulatory approvals, is expected to close in Spring 2020.
     
     USD 93 million (of which USD 85 million immediately and USD 8 million in a four-year earn‑out) from the sale of a 50% stake in a logistics hub in India, which will be completed in the first quarter of 2020.
     
    Lastly, an additional USD 100 million from stepping up CEVA Logistics’ receivables securitisation programme. The company has already locked in the renewal of its initial USD 450 million securitisation programme in Europe, the United States and Australia, which was scheduled to expire next spring.
     
    About CMA CGM

    Led by Rodolphe Saadé, the CMA CGM Group is a world leader in shipping and logistics.
    Its 506 vessels serve more than 420 ports on five continents around the world and carried nearly 21 million TEUs (twenty-foot equivalent units) in 2018. With CEVA, a world leader in logistics services, CMA CGM handled more than 500,000 tons of airfreight and 1.9 million tons of inland freight in 2018.
    CMA CGM is constantly innovating to offer customers new maritime, inland and logistics solutions.
    Present on every continent and in 160 countries through its network of 755 offices and 750 warehouses, the Group employs 110,000 people worldwide, of which 2,400 in Marseille where its head office is located.




2020 February 27

18:05 European yards specify Thordon System as standard for deck machinery
17:48 IMO's GloFouling Partnership project tackles problem of invasive aquatic species in Sri Lanka
17:29 Tallink Grupp reports nearly 25% higher net profit for the full financial year 2019
17:05 AquaTerra acquires Subsea Engineering and Technical Services
16:51 Zelenodolsk Shipyard named after A.M. Gorky laid down passenger ship Chaika LNG
16:35 Vale clarifies incident with contracted vessel
16:04 NYK Cruises to cancel cruises due to coronavirus
15:30 Average physical depreciation of Rosmorport’s berthing facilities is 24%
15:07 National Association of Shipping Agencies addresses FAS over plans on multiple increase of port dues in Russia
14:56 Arbitration award related to purchase options for four VLCCs on charter to Okeanis ECO Tankers
14:43 ASCO strengthened preventive measures against coronavirus
14:19 ASCO takes necessary precautionary measures to prevent environmental damage
13:55 Rotterdam to host ACI’s 24th Ballast Water Management Conference on 7-8 April 2020
13:53 Ørsted signs 20-year lease with Port of Taichung for Greater Changhua offshore wind farms
13:34 Vysotsk VTS obtains Certificate of Conformity
13:12 Xeneta container rates alert: long-term contracted rates hold despite Coronavirus chaos
12:56 Certificate of Conformity obtained for Ust-Luga VTS
12:33 Finnlines published its 2019 Financial Statements and Financial Review
12:10 A.P. Moller - Maersk links new $5.0bn revolving credit facility to its CO2 performance
11:52 Port of Gdynia seeks opportunities for further development
11:28 Rosmorport’s Murmansk Branch performed pilotage of Capesize vessel
11:04 Rosmorport to complete dredging under NOVATEK’s project in Petropavlovsk-Kamchatsky by April 2021
10:41 3rd Technical Conference "Modern Solutions for Hydraulic Engineering" kicks off in Moscow
10:35 Ships of RF Navy’s Baltic Fleet continue performing planned training as part of its long-distance campaign
10:16 Port of Oakland debt ratings affirmed by Fitch
10:13 Brent Crude futures price is down 1.52% to $51.99, Light Sweet Crude – fell to 1.54% to $47.98
09:56 Hydrographic Department to dredge about 20 million cbm of material on Sabetta’s seaway canal in 2020
09:34 Marine Recruiting Agency LLC trained 1,957 specialists in 2019, up 2.6% YoY
09:32 MABUX: Bunker market this morning, Feb 27
09:15 Baltic Dry Index is up to 517 points

2020 February 26

18:37 Royal IHC to supply integrated power cablelay spread
18:01 Chartwell Marine announces sponsorship agreement with Alan Roberts Racing in the lead up to the 2020 racing season
17:29 Keppel delivers world’s fastest brownfield FPSO modification project
17:26 Busan Port Authority and Samsung SDS signed a contract to operate a logistics center in Rotterdam, Netherlands
17:00 Smart Maritime Council announces support for shipboard machinery data standard
16:23 Damen DOP ensures new approach to dredging – expert opinion
16:00 FSUE Rosmorport to dredge 18.4 million cbm of material in 2020
15:36 Yamal LNG reaches thirty million tons milestone
15:12 MHI-MME receives retractable fin stabilizer orders for two luxury expedition vessels being built by Helsinki Shipyard
14:55 Contract signed for extension of Świnoujście LNG Terminal
14:34 Rosmorrechflot to have 20 dredgers built at Lotos shipyard by 2030
14:12 Kongsberg Maritime wins 300 MNOK contract to equip four new cruise vessels
13:55 EU NAVFOR Somalia supports Djiboutian Coast Guard
13:33 Belarusian-Latvian cooperation in multimodal cargo transportation via Latvian ports discussed in Riga
13:10 Global Offshore announces new addition to its cable installation fleet
12:51 Rosmorport announces tender for dredging on access canal of Temryuk port
12:28 PortNews Media Group and Shipbuilding Cluster of Arkhangelsk Region sign agreement on cooperation
12:10 Contship Italia confirms operational continuity at Group's maritime and intermodal terminals amidst SARS-CoV-2 outbreak
12:07 Milaha reports a 6% increase in net profit for full year 2019
11:29 BIMCO, ICS, INTERCARGO and INTERTANKO launch survey to identify fuel oil issues
11:01 Seaspan agrees to purchase a fleet of four containerships
10:48 Viesturs Zeps elected Chairman of Freeport of Riga Board, Pavels Rebenoks elected Deputy Chairman
10:21 3rd Hydraulic Engineering Structures and Dredging Congress kicks off in Moscow
10:17 MABUX: Bunker market this morning, Feb 26
10:06 GTT receives an order from Hudong-Zhonghua Shipbuilding (Group) Co. Ltd. for the tank design of two new LNG Carriers
09:59 First dredger with ultra-low emissions has arrived in Belgium
09:54 Novorossiysk Commercial Sea Port to invest RUB 108.4 billion in development till 2029
09:35 Brent Crude futures price is up 0.65% to $54.61, Light Sweet Crude – up 0.8% to $50.3
09:17 Baltic Dry Index is up to 508 points

2020 February 25

18:06 Maritime world players gather in Antwerp for World Ports Conference 2020