Expectations of increased demand throughout 2021 contribute to the Danish integrated shipping company Maersk expecting a larger operating profit.
Maersk writes in a recent announcement to the Danish stock exchange that the expectations for global demand in 2021 have been raised to 5-7 percent against the previous 3-5 percent, primarily driven by export volumes from China to the US.
In fact, demand is doing so well that Maersk can raise its financial expectations for 2021.
From an earlier expectation of an operating profit in 2021 of around DKK 26-39 billion, the expectation has now been raised to DKK 55-68 billion.
Helping to ensure the upward adjustment is a first quarter in which, according to preliminary and unaudited figures, Maersk will have a turnover of DKK 76 billion and an operating profit of DKK 19 billion.
“The good result is primarily due to the special market situation with increasing demand and therefore scarcity in the supply chains and a lack of containers as a result”, Maersk writes in the announcement.
Due to the situation, Maersk has experienced increasing freight rates of 35 percent in the first quarter of 2021 which has also contributed to the results.
Maersk will not present the final result until 5 May but the company explains in the announcement that the good pace from the first quarter looks set to continue into the fourth quarter of this year. This helps to give greater optimism for the rest of the year.
Maersk is listed on the Danish stock exchange and part of the leading Danish equity index, C25.
Maersk employs more than 80,000 people and has activities in 130 countries.
Source: Scand Asia