ZIM Integrated Shipping Q3 Earnings Exceed Expectations

  • ZIM Integrated Shipping Services Ltd (NYSE: ZIM) reported third-quarter FY22 sales growth of 3% year-on-year to $3.23 billion, beating the consensus of $3.18 billion.

  • Carried volume in Q3 was 842 thousand TEUs, a year-over-year decrease of 5%.

  • The operating margin was 47.8%, and the operating income was $1.5 billion.

  • The company held $4.4 billion in cash and equivalents as of September 30, 2022.

  • Adjusted EBITDA decreased 7% Y/Y to $1.93 billion with an adjusted EBITDA margin of 60%.

  • Net debt as of September 2022 was $250 million.

  • EPS of $9.66 beat the analyst consensus of $9.54.

  • ZIM’s Board declared a cash dividend of approximately $354 million, or $2.95 per ordinary share, payable on December 7, 2022, to holders of ZIM ordinary shares as of November 29, 2022.

  • “Driven by macroeconomic and geopolitical uncertainties, the near-term outlook for container shipping has shifted and the normalization in freight rates has begun,” said CEO Eli Glickman.

  • Outlook: ZIM Integrated Shipping reduced its FY22 adjusted EBITDA forecast to $7.4 billion – $7.7 billion (prior view $7.8 billion – $8.2 billion).

  • Price Action: ZIM shares are trading higher by 1.61% at $26.79 on the last check Wednesday.

See more from Benzinga

Don’t miss real-time alerts on your stocks – join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Source: https://finance.yahoo.com/news/zim-integrated-shipping-q3-earnings-155556517.html