Israeli carrier ZIM reported its highest-ever net income of $1.46 billion for the third quarter ended September 30, 2021, on higher freight rates and volumes.

ZIM carried 884,000 TEUs in Q3, an increase of 16 percent and the average freight rate zoomed 174 percent to $3,226, an official statement said.

ZIM has increased the 2021 guidance to between $6.2 billion-$6.4 billion of adjusted EBITDA and between $5.4 billion-$5.6 billion of adjusted EBIT.

Revenue for the third quarter was $3.14 billion compared to $1.01 billion in Q32020, a year-over-year increase of 210 percent.

“We are very proud of ZIM’s significant accomplishments since our IPO earlier this year,” president and CEO Eli Glickman said. “The company’s continued outstanding performance is a direct result of our team’s strong execution and success proactively capitalising on both the highly attractive market and our differentiated approach. The exceptional results we generated in the third quarter reflect our highest ever quarterly revenues, adjusted EBITDA, net profit and operating cash flow. Importantly, we have once again delivered industry-leading margins, outperforming the sector’s average. Reflecting ZIM’s strong outlook and extremely positive container liner market fundamentals, we have once again raised our full-year 2021 guidance.”

For nine months, total revenue was $7.26 billion compared to $2.63 billion “driven by an increase in revenues from containerised cargo, reflecting increases in freight rates as well as in carried volume.”

ZIM carried 2.6 million TEUs during the first nine months of 2021, compared to 2.04 million TEUs in the first nine months of 2020. The average freight rate per TEU was $2,510 for the first nine months of 2021, compared to $1,116 for the first nine months of 2020, an increase of 124 percent.

“During the third quarter of 2021 and subsequent to quarter end, the company purchased eight second-hand vessels (built between 2007-2010) in a number of separate transactions. The vessels purchased include five 4,250 TEU vessels, one 2,553 TEU vessel and two 1,100 TEU vessels for a total consideration of approximately $355 million,” the statement said.

Source : ITLN