Maersk Saves a Billion Dollar Due to Lower Bunker Prices and Cost Saving Initiatives
A.P. Møller – Maersk A/S has published its Interim Report Q1 2016 today, 4 May 2016. In which the Maersk Group delivered an underlying profit of USD 214m with six out of eight businesses returning a profit.
Even though the Group’s revenue decreased by USD 2.0bn or 19% compared to Q1 2015, predominantly due to 37% lower oil price and 26% lower average container freight rates, the operating expenses decreased by USD 1.0bn mainly due to lower bunker prices and cost saving initiatives, including lower oil exploration costs.
Freight rates and oil prices stayed subdued and volatile in Q1 2016 due to the continued significant supply demand imbalances. Within these difficult markets, Maersk executed on plans to reduce cost and deliver high operational performance.
Maersk Line made a profit of USD 37m (USD 714m), Maersk Oil reported a loss of USD 29m (profit of USD 208m), Maersk Drilling delivered a profit of USD 222m (USD 168m) and APM Terminals made a profit of USD 108m (USD 190m).