- Business volumes rise amid sustained demand and disrupted routes.
- Operating profit for Q2 was down 4% year-on-year.
- Continued investments in fleet upgrades and decarbonization.
- Strategic partnerships to enhance AI deployment across operations.
The Board of Directors of the CMA CGM Group, a global player in sea, land, air, and logistics solutions, met today under the chairmanship of Rodolphe Saadé, Chairman and Chief Executive Officer, to review the financial statements for the second quarter of 2024, according to an article published on their website.
Robust Performance Despite Challenges
CMA CGM has reported a solid performance for the second quarter of 2024, driven by sustained demand for maritime shipping despite significant disruptions on major routes. The Group’s operating profit fell by 4% year-on-year, reflecting the challenging operating environment.
Strategic Investments
The Group has made substantial investments to upgrade its vessel fleet and support the industry’s decarbonization efforts. CMA CGM has ordered twelve 15,000 TEU LNG vessels from Hyundai Heavy Industries as part of its fleet renewal program, aiming for Net Zero Carbon by 2050. Additionally, CMA CGM is integrating Bolloré Logistics into CEVA Logistics, enhancing its logistics capabilities.
AI and Digital Transformation
CMA CGM is forging strategic partnerships to deploy artificial intelligence across all its businesses. This initiative aims to boost operational efficiency and support the Group’s digital transformation.
Financial Performance
In the second quarter, Group revenue stood at USD 13.1 billion, up 6.8% from the previous year. EBITDA totaled USD 2.48 billion, a 4.3% decrease year-on-year. The Group’s net income was USD 661 million, impacted by contributions to decarbonization and AI research initiatives.
Shipping and Logistics
CMA CGM carried 6.0 million TEUs in Q2 2024, a 6.8% increase from the previous year. Maritime shipping revenue was USD 8.29 billion, while logistics operations generated USD 4.79 billion, boosted by the integration of Bolloré Logistics. Other activities, including port terminals and media, saw revenue increase by 23.8% to USD 601 million.
Outlook
CMA CGM remains focused on cost control and operational discipline amidst a volatile macroeconomic and geopolitical environment. The Group continues to invest in industrial capabilities and digitization to enhance service levels and decarbonize shipping and logistics.
CEO Comment
Rodolphe Saadé, Chairman and CEO of CMA CGM, highlighted the Group’s ability to adapt to operational challenges and emphasized ongoing investments in fleet renewal, decarbonization, and digital transformation as key to sustaining growth and competitiveness in the maritime industry.
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Source: CMA CGM
