The USD 3.4 billion (EUR 3.2 billion) profit generated by German carrier Hapag-Lloyd in the first nine months of 2023 is "significantly below the prior-year level," said the carrier in a press release.

Like other liners, Hapag-Lloyd suffered a massive drop in revenues this year. It cited severe changes in market conditions as one of the reasons behind the decline.

Covering the period from January to September 2023, the group earned an EBITDA of USD 4.5 billion (EUR 4.2 billion), nearly USD 12.13 billion less than last year.

As for the EBIT, the company earned USD 3.0 billion (EUR 2.8 billion), signalling a drop of approximately USD 12.15 billion from last year.

Nevertheless, the volumes transported by the carrier in the first nine months of 2023 remained stable. Compared to 2022, the group's transported volumes decreased by only 70 thousand TEU.

The carrier said volumes improved in the third quarter, "rising by just under 5%." As a result, the combined volumes in the first nine months of the year were almost equal to those of the prior-year period.

"Thanks to an increase in transport volumes in the third quarter, volumes are roughly flat for the nine-month period compared to 2022," said Rolf Habben Jansen, CEO of Hapag-Lloyd AG.

To respond to the challenges in the market, the group intends to reduce expenses, save more on the procurement side, and make adjustments to its service network.

In the meantime, the company went ahead with the strategic agenda it announced last year. This year alone, the carrier announced multiple investments in port terminals worldwide, including the takeover of Chile-based terminal operator SM SAAM S.A and purchasing a 35% stake in India-based J M Baxi Ports & Logistics Ltd.