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2024 March 14   15:00

ZIM reports results for 2023

ZIM Integrated Shipping Services Ltd., a global container liner shipping company, announced today its consolidated results for the three and twelve months ended December 31, 2023, according to the company's release.

Net loss for the fourth quarter was $147 million (compared to a net profit of $417 million in the fourth quarter of 2022), or a diluted loss per share of $1.234 (compared to diluted earnings per share of $3.44 in the fourth quarter of 2022); net loss for the full year, including a $2.06 billion non-cash impairment loss, was $2.69 billion1 (compared to a net profit of $4.63 billion for the full year of 2022).

Adjusted EBITDA for the fourth quarter was $190 million, a year-over-year decrease of 80%; Adjusted EBITDA for the full year was $1.05 billion, a year-over-year decrease of 86%.

Operating loss (EBIT) for the fourth quarter was $54 million, compared to operating income of $585 million in the fourth quarter of 2022. 

Operating loss for the full year of 2023 was $2.51 billion (driven by a non-cash impairment loss of $2.06 billion recorded in the third quarter), compared to operating income of $6.14 billion for the full year of 2022.

Adjusted EBIT loss for the fourth quarter was $49 million, compared to Adjusted EBIT of $585 million in the fourth quarter of 2022. Adjusted EBIT loss for the full year of 2023 was $422 million, compared to Adjusted EBIT of $6.15 billion for the full year of 2022.

Revenues for the fourth quarter were $1.21 billion, a year-over-year decrease of 45%; revenues for the full year were $5.16 billion, a year-over-year decrease of 59%.

Carried volume in the fourth quarter was 786 thousand TEUs, a year-over-year decrease of 4.6%; carried volume in the full year was 3,281 thousand TEUs, a year-over-year decrease of 2.9%.

Average freight rate per TEU in the fourth quarter was $1,102, a year-over-year decrease of 48%; average freight rate per TEU in the full year was $1,203, a year-over-year decrease of 63%.

Net leverage ratio of 2.2x at December 31, 2023, compared to 0.0x as of December 31, 2022; net debt2 of $2.3 billion, compared to net cash of $279 million as of December 31, 2022.
 
Total revenues were $5,162 million for the full year of 2023, compared to $12,562 million for the full year of 2022, driven primarily by the decrease in freight rates.

ZIM carried 3,281 thousand TEUs in the full year of 2023, compared to 3,380 thousand TEUs in the full year of 2022. The average freight rate per TEU was $1,203 for the full year of 2023, compared to $3,240 for the full year of 2022.

Operating loss (EBIT) for the full year of 2023 was $2,511 million, compared to operating income of $6,136 million for the full year of 2022. The decrease was primarily driven by the above-mentioned decrease in revenues and an impairment loss of $2,063 million recorded in the third quarter of 2023.

Net loss for the full year of 2023 was $2,688 million, compared to net income of $4,629 million for the full year of 2022, driven mainly by the decrease in operating income (loss) and the $2,063 million impairment loss.

Adjusted EBITDA was $1,049 million for the full year of 2023, compared to $7,541 million for the full year of 2022. Adjusted EBIT loss was $422 million for the full year of 2023, compared to adjusted EBIT of $6,145 million for the full year of 2022. Adjusted EBITDA and Adjusted EBIT margins for the full year of 2023 were 20% and -8%, respectively. This compares to 60% and 49% for the full year of 2022, respectively.

Net cash generated from operating activities was $1,020 million for the full year of 2023, compared to $6,110 million for the full year of 2022.

Founded in Israel in 1945, ZIM (NYSE: ZIM) is a global container liner shipping company with established operations in more than 90 countries serving approximately 33,000 customers in over 300 ports worldwide.

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