Germany's Hapag-Lloyd 2025 profit drops on lower freight rates

Hapag-Lloyd AG

26/03/2026 06:39

Overview

Germany container shipping firm's 2025 revenue rose, but EBITDA and EBIT declined yr/yr

Net income for 2025 fell compared to prior year, mainly due to lower freight rates, higher costs

Company proposes EUR 3.00 per share dividend for 2025

Outlook

Hapag-Lloyd expects 2026 EBITDA of $1.1-3.1 bln and EBIT of -$1.5 to 0.5 bln

Company says 2026 outlook subject to uncertainty from volatile freight rates and Middle East conflict

Hapag-Lloyd expects 2026 earnings to be lower than 2025 due to higher costs and disruptions

Result Drivers

VOLUME GROWTH - Transport volumes rose 8%, supported by Gemini network implementation

LOWER FREIGHT RATES - Average freight rate fell 8% due to growing capacity and increasing trade imbalances

HIGHER OPERATIONAL COSTS - Increased costs from tariff policies, Red Sea tensions, Gemini network start-up, and port congestion weighed on earnings

Company press release: ID:nEQ11vctga

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Net Income
$1.04 bln
FY EBITDA Margin
17.00%
FY EBIT Margin
5.00%


Analyst Coverage

The current average analyst rating on the shares is "sell" and the breakdown of recommendations is no "strong buy" or "buy", 5 "hold" and 6 "sell" or "strong sell"

The average consensus recommendation for the marine freight & logistics peer group is "hold."

Wall Street's median 12-month price target for Hapag-Lloyd AG is €114.00, about 17.3% below its March 25 closing price of €137.80

The stock recently traded at 58 times the next 12-month earnings vs. a P/E of 75 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)