Maersk, the second-largest container liner, reported a total net profit of USD 3.9 billion for 2023, representing a substantial decline from the peak in 2022 when profits soared to USD 29.2 billion.

According to Maersk's annual report released this morning, the revenue for 2023 stood at USD 51.0 billion. This figure also reflects a notable decrease compared to the USD 81.5 billion recorded in the previous year.

Additionally, the company's results for the fourth quarter came below expectations. Profits during the three months decreased, with EBITDA coming in at USD 839 million as opposed to the anticipated USD 1.13 billion.

CEO Vincent Clerc says, "2023 was a transitional year following the extraordinary market boom caused by the pandemic."

"We secured solid financial results despite significantly changed circumstances, and we are well positioned to manage the expected headwinds in 2024," he adds.

For 2024, the liner expects an underlying EBITDA between USD 1.0 billion and 6.0 billion. Maersk bases this outlook on significant oversupply challenges and increased uncertainty this year.

Maersk's ocean business saw revenue fall from USD 13.2 billion to USD 7.1 billion in the last three months of the year. For 2023, the group's EBITDA came to USD 4.0 billion.

"Ocean results turned negative in Q4, in line with expectations following the challenging market development. Volumes increased but from a low base in Q4 2022," writes Maersk.

Also, in the group's statement, the company announced it will spin off its towage service operator, Svitzer - one of the largest towage operators globally.

Maersk decided to turn Svitzer into an independent company and have it listed on the stock exchange in Copenhagen.