CMA CGM somber earnings for 2Q 2023 paint a bleak picture for transport + logistics: French shipping giant CMA CGM’s bottomline for the second quarter of 2023 fell 83% y-o-y to USD 1.3 bn, while revenues fell 36.9% to USD 12.3 bn, according to the company’s most recent earnings release. “The transport and logistics market remains depressed,” CMA CGM said in the earnings release. Revenues from the outfit’s maritime freight operations declined 47.9% on a yearly basis to settle at USD 8.4 bn, while its logistics operations raked in USD 3.8 bn, remaining flat y-o-y.

Less-than-optimistic outlook: An adverse global macroeconomic climate, shaky geopolitics, and a decline in transport markets underpin a gloomy outlook for the transport and logistics industry, the company said. Lukewarm economic growth and persistent inflation are expected to weigh on consumer demand, while new capacity is slated to drag down freight rates amid an uncertain market, particularly for East-West traffic, the company said.

The news got ink from Bloomberg, Reuters and Lloyd’s List.

Tags: