A.P. Moller–Maersk A/S, the Danish company that owns the largest ocean shipping line, announced record earnings on Feb. 23, powered by a rebounding international freight market.
The parent company reported earnings of $5.02 billion, its largest profit ever, one year after posting a $1.02 billion loss.
The 2009 loss had been the first since at least World War II. The previous profit record was $4.3 billion in 2006.
Maersk achieved its earnings record by more than tripling its pretax profit to $9.7 billion from $2.8 billion. Revenue rose 16% to $56.1 billion from $48.6 billion.
Container shipping accounted for $2.6 billion of the pretax profits, reversing a loss of $2.1 billion from that business in 2009 as the world economy slumped.
Freight rates rose an average of 29% last year after falling by an almost equal 28% in 2009.
“Improved market balance and shortage of containers in the second and third quarters formed the basis for considerably higher freight rates,” the company report said.
Shipping volume rose 5% to 14.6 million 20-foot units.
The firm also saved $800 million in operating costs by using steps such as slow steaming that reduced vessel speeds and increased transit times.
Results for 2011 are not expected to match last year, the company said in its Feb. 23 earnings statement, with “satisfactory” container shipping performance as ocean freight volumes rise 6% to 8%.
Maersk’s other businesses include oil and gas exploration, supermarkets, an airline and oil tanker shipping.
