CMA CGM posts profit of US$371 million as revenue rises 9pc to $4.2 billion

MARSEILLE-based CMA CGM, the world's third largest carrier, has announced its third quarter results, experiencing a net profit of US$371 million, drawn on nine per cent increase in revenue to US$4.2 billion.

Its net profit for the first nine months came to $310 million, reversing the $248 million deficit it posted in the first quarter of the year.

The French carrier was satisfied with its performance, which was reflected by a quarterly EBITDA (earnings before interest, tax, depreciation and amortisation) of $617 million.

The carrier said in a statement its third quarter profitability was "close to CMA CGM's historic highs" due to higher freight rates on all trade routes and better-than-expected cost savings result. Also, its 13 per cent operating margin in the quarter was also an industry best, according to London's Port Technology International.

In July-September period, the carrier handled a total of 2.7 million TEU, up 3.8 per cent compared to 2.6 million TEU carried in the same period last year.

The carrier said it succeeded in generating $550 million in savings over the first nine months, well ahead of its target.

Looking ahead, CMA CGM expects to make "a substantial profit" at the end of the year.