Israel's ZIM Q1 revenue misses expectations on weaker demand

Zim Integrated Shipping Services

20/05/2026 12:09

Overview

Israel container liner's Q1 revenue fell 30% yr/yr, missing analyst expectations

Adjusted EBITDA for Q1 dropped 60% yr/yr and missed analyst expectations

Company posted Q1 net loss as lower freight rates and volumes weighed on results

Outlook

Company expects higher and more volatile bunkering costs to impact Q2 2026 results

ZIM says strengthening Transpacific freight rates and demand could support H2 2026 performance

Company says about 65% of Transpacific volume now exposed to spot rates after contract renewals

Result Drivers

FREIGHT RATE DECLINE - Co said lower average freight rates per TEU drove revenue and profit declines

WEAKER DEMAND - Co attributed results to softer freight rate environment and weaker demand, per CEO Eli Glickman

BUNKERING COST VOLATILITY - Co said conflict in Persian Gulf sparked volatility in bunkering costs, with minimal Q1 impact but expected rise in Q2

Company press release: ID:nPn5rscFMa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$1.40 bln
$1.58 bln (5 Analysts)
Q1 Net Income
-$86 mln
Q1 Adjusted EBITDA
Miss
$313 mln
$345.31 mln (5 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and 2 "sell" or "strong sell"

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

Wall Street's median 12-month price target for ZIM Integrated Shipping Services Ltd is $23.55, about 7.8% below its May 19 closing price of $25.55

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.)