CMA CGM, the French container shipping giant, is projected to achieve a total revenue of $55.5 billion in 2024, a notable increase from $47.02 billion in the previous year. This growth is primarily attributed to the robust performance of its container shipping operations. The company's profit before tax, depreciation, and amortization is expected to reach $13.4 billion, corresponding to a profit margin of 24.2%. This represents a 5.1 percentage point improvement compared to the prior year, highlighting a strong financial upturn.
While CMA CGM experienced positive financial results, the broader container shipping market has seen a mixed performance. The average freight rate per TEU for some carriers, like ZIM, decreased by 18% to $1,551/TEU in 2025, with a sharper decline to $1,333/TEU in the fourth quarter, a 29% year-on-year drop. Similarly, Hapag-Lloyd's average freight rate receded by 8% to $1,376/TEU. These declines were coupled with additional costs incurred by shipping companies due to re-routing around the Cape of Good Hope, a longer journey compared to the Suez Canal, leading to increased fuel consumption and transit times.
Overall, the average operating margin for container carriers fell to below 10% in the first half of 2025. This downturn marks the lowest level recorded since the fourth quarter of 2020 for the industry. Despite these market conditions, CMA CGM indicated a relatively contained decline in its average revenue per TEU, seeing only an 8.7% decrease to $1,414/TEU. The combination of this tariff erosion and a 6.1% reduction in maritime revenue resulted in a significant contraction of its EBITDA margin, though its overall financial performance remained strong.
In related news, Hapag-Lloyd raised its full-year EBITDA forecast to between $2.7 billion and $3.7 billion, up from an earlier estimate of $1.1 billion to $3.1 billion. The midpoint of their EBITDA forecast increased by 52% in just a few weeks, reflecting a fundamental shift in the maritime freight sector driven by strong demand and favorable freight rates, despite global trade tensions. Additionally, after ten weeks of increases, container freight rates have started to decline, with the Shanghai Container Freight Index (SCFI) having risen over 70% since April, and some transpacific routes seeing cumulative increases exceeding 250%. This downturn is seen as a potential end to the price surge rather than a market reversal, with analysts not anticipating a complete collapse in rates due to active capacity management by carriers and easing port congestion.
