ZIM 2024 revenue up 63%, net income at $2.15bn on higher rates
Volume carried increased 14% to 3.7 million TEUs, and average freight rate was up 57% at $1,888 per TEU.
Israeli carrier ZIM reported a net income of $2.15 billion for the full year 2024 as against a loss of $2.7 billion in 2023 on higher volume and freight rates.
While volume carried increased 14 percent to 3.7 million TEUs, average freight rate was up 57 percent at $1,888 per TEU as against $1,203 per TEU in 2023, according to an official release.
Total revenue was up 63 percent at $8.4 billion for 2024. "Operating income (EBIT) for the full year of 2024 was $2.53 billion compared to operating loss of $2.51 billion for the full year of 2023. The increase was primarily driven by the increase in revenues and the impairment charge recorded in 2023."
Net cash generated from operating activities was $3.75 billion for 2024 compared to $1.02 billion for 2023, the release added.
"We are pleased and proud with the company's outstanding performance in 2024, during which we delivered record carried volume as well as exceptional profitability," says Eli Glickman, President & CEO, ZIM. "Based on our continued progress upscaling our capacity and optimising our cost structure, we reported our best results ever, excluding the extraordinary Covid period. Consistent with our commitment to returning capital to shareholders, the dividend declared today, together with the dividends distributed during 2024, total $7.98 per share, or $961 million, representing approximately 45 percent of our full year net income.
"We enter 2025 with a more resilient business and modern cost- and fuel-efficient capacity, 40 percent of which is LNG-fueled. While acknowledging that our industry is highly volatile, exacerbated by current uncertainty related to geopolitics, international political dynamics and economic, fiscal and monetary policies, we are confident in our agile approach and competitive position in the industry."
2025 outlook
ZIM is expected to report an adjusted EBITDA between $1.6 billion and $2.2 billion and adjusted EBIT between $350 million and $950 million for 2025, "assuming trade conditions in the Red Sea will not normalise until the second half of the year at the earliest."
