On the basis of preliminary figures, Hapag-Lloyd’s earnings before interest and taxes (EBIT) for the 2019 financial year significantly increased to €811 million (2018: €444 million). Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose to €1,986 million (2018: €1,139 million).
The main drivers of the positive business developments have been improved freight rates as well as rigorous cost and revenue management. The 2019 results include effects from the first-time application of the IFRS 16 accounting standard, which amount to approximately €31 million for the EBIT and approximately € 467 million for the EBITDA. In the fourth quarter of 2019, both the EBITDA of € 475 million (Q4 2018: €327 million) and the EBIT of €169 million (Q4 2018: €144 million) were also above their prior-year levels.
Revenues increased in the 2019 financial year by approximately 9 per cent to €12.6 billion (2018: €11.6 billion). This can be attributed to an improved average freight rate of $1,072/TEU for the year as a whole, which rose by 2.6 per cent year-on-year (2018: $1,044/TEU) due to a stronger focus on more profitable trade lanes and active revenue management. In addition, a 1.4 per cent year-on-year increase in transport volumes, to more than 12 million TEUs (2018: 11.9 million TEUs), and a stronger US dollar exchange rate against the euro also made a positive contribution to revenues.
