Management review
Highlights Q3 2023 ............................................................... 03
Summary financial information
................................................. 04
Review Q3 2023
.................................................................. 05
– Financials reflect significantly lower freight rates
......................... 05
– ESG update
.................................................................... 06
Financial guidance and targets
.................................................. 07
Market insights
.................................................................... 08
Segments
.......................................................................... 09
– Ocean
.......................................................................... 09
– Logistics & Services
........................................................... 11
– Terminals
...................................................................... 12
– Towage & Maritime Services
................................................. 14
Review 9M 2023
.................................................................. 15
Financials
Condensed income statement ................................................... 16
Condensed statement of comprehensive income
............................. 16
Condensed balance sheet at 30September
................................... 17
Condensed cash flow statement
................................................ 18
Condensed statement of changes in equity
.................................... 19
Notes
............................................................................... 20
Management’s statement
........................................................ 24
Quarterly summary
............................................................... 25
Definition of terms
................................................................ 26
Improving life for all by integrating the world
At A.P. Moller - Maersk, we aspire to provide truly integrated logistics. Across oceans, ports, on land
and in the air, we are combining our supply chain infrastructure with the power of our people and
technology to drive end-to-end innovation that accelerates our customers’ success.
With a dedicated team of 103,000+ employees, operating in more than 130 countries, we explore
new frontiers and embrace new technologies because we see change as an opportunity. No matter
the challenge, we stay confident and resilient because our values are constant. By living our values,
we inspire trust in our efforts to integrate the world and improve life for all.
Contents
Contacts for further information
Vincent Clerc
CEO
Patrick Jany
CFO
Investors
Stefan Gruber
Head of Investor Relations
Tel. +45 3363 3106
Media
Jesper Lov
Head of Media Relations
Tel. +45 3363 1901
Webcast and dial-in information
A webcast relating to the Q3 2023
Interim Report will be held on
3 November 2023 at 11.00 (CET).
Dial-in infor mation on
investor.maersk.com.
Presentation material for the webcast
will be available on the same page.
The Interim Report for Q3 2023 of
referred to as A.P. Moller - Maersk as
the consolidated group of companies)
has been prepared in accordance with
IAS 34 ‘Interim Financial Reporting’ as
issued by the International Accounting
Standards Board (IASB) and adopted
by the EU and additional Danish disclo-
sure requirements for interim financial
reporting of listed companies.
The interim consolidated financial
statements have not been subject to
audit or review.
Comparative figures
Unless otherwise stated, all figures in
parentheses refer to the corresponding
figures for the same period prior year.
Financial calendar
08 February 2024
Annual Report 2023
Produced in Denmark
2
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Management review
Highlights Q3 USD million
Revenue EBITDA EBIT CAPEX
2023 2022 2023 2022 2023 2022 2023 2022
Ocean 7,897 18,018 1,133 9,924 -27 8,734 443 520
Logistics & Services 3,517 4,182 339 394 136 258 196 163
Terminals 999 1,117 353 391 270 357 113 199
Towage & Maritime Services 483 591 90 127 194 100 60 58
Unallocated activities, eliminations, etc. -767 -1,141 -37 26 -35 28 7 -34
A.P. Moller - Maersk consolidated 12,129 22,767 1,878 10,862 538 9,477 819 906
The financial results for Q3 2023 were in line with expectations in a difficult market environment, with good performance
in Terminals and a stabilised Logistics & Services which partly offset continued erosion in Ocean. While volumes were up in
most segments and cost reductions improved results, rates continued to erode, in particular in Ocean, and are now close to
2019-levels.
As the market is expected to remain volatile, with profitability increasingly tested by the ongoing increase in supply in
Ocean, A.P. Moller - Maersk has intensified its cost reduction efforts and increased its existing restructuring programme.
A.P. Moller - Maersk now aims to reduce the workforce below 100,000, from 110,000 in January 2023, resulting in savings of
USD 600m in 2024 compared to 2023 and increased restructuring costs of USD 350m, up from USD 150m announced in
early 2023, of which the majority of the increase is expected to impact 2023.
In addition, given the uncertainty ahead, CAPEX has been reduced for 2023 and 2024, and further measures, including the
continuation of the share buy-back programme in 2024, are under review.
The full year guidance is maintained but is now expected to be at the lower end of the previously communicated EBIT and
EBITDA ranges of USD 3.5-5.0bn and USD 9.5-11.0bn, respectively. Guidance for 2024 will be provided with the release of
the 2023 full year results on 8 February 2024.
Highlights Q3 2023
Revenue for Q3 decreased by USD 10.6bn to USD 12.1bn (USD 13.0bn in Q2) led by USD 10.1bn lower revenue from Ocean, and lower
revenue of USD 665m and USD 118m from Logistics & Services and Terminals, respectively. EBITDA decreased by USD 9.0bn to USD 1.9bn
(USD 2.9bn in Q2), driven by a USD 8.8bn lower contribution from Ocean. EBIT decreased by USD 8.9bn to USD 538m (USD 1.6bn in Q2)
with USD 8.8bn of the decrease stemming from Ocean.
Ocean results have reached break-even levels due to continuing challenging market conditions resulting in substantially lower
freight rates compared to the abnormally high rates in 2022. The impact of lower rates was partially offset by lower operating
costs, which decreased despite an increase in volumes. Cost containment remains a key focus while ensuring quality and
reliability of the Ocean products.
Logistics & Services business performance continues to be impacted by lower rates, particularly in the air and haulage market
and by lower volumes for lead logistics and e-commerce. Profitability decreased versus previous year and stabilised sequentially
with an increased emphasis on cost management to protect margins in a lower-rate environment.
Terminals storage revenue declined given the normalisation of storage cost and lower volumes, mostly due to ongoing con-
struction work and exits of terminals. However, tariff increases in line with local inflation as well as strong cost control secured
a continued solid financial performance.
Free cash flow of negative USD 124m (positive USD 7.8bn) declined due to decreased cash flow from operating activities, slightly offset by
higher financial income and lower capital expenditures.
During Q3, A.P. Moller - Maersk continued to make solid progress on its net zero roadmap, celebrating a historic milestone with the name-
giving of the world’s first methanol-enabled vessel and welcoming a new company C2X, formed together with A.P. Moller Holding to
scale green methanol production facilities. Ambitious partnerships with industry peers and customers are vital to secure progress
towards the net zero target.
Management review I Highlights Q3 2023
3
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Q3 Q3 9M 9M 12M
Income statement 2023 2022 2023 2022 2022
Revenue 12,129 22,767 39,324 63,709 81,529
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 1,878 10,862 8,752 30,273 36,813
Depreciation, amortisation and impairment losses, net 1,584 1,649 5,035 4,574 6,186
Gain on sale of non-current assets, etc., net 136 4 439 68 101
Share of profit/loss in joint ventures and associated companies 108 260 315 -29 132
Profit before financial items (EBIT) 538 9,477 4,471 25,738 30,860
Financial items, net 153 -303 327 -800 -629
Profit before tax 691 9,174 4,798 24,938 30,231
Tax 137 263 434 598 910
Profit for the period 554 8,911 4,364 24,340 29,321
A.P. Møller - Mærsk A/S ’ share 521 8,879 4,258 24,248 29,198
Underlying profit
1
489 8,818 4,396 24,840 29,703
Balance sheet
Total assets 83,459 89,058 83,459 89,058 93,680
Total equity 55,973 60,231 55,973 60,231 65,032
Invested capital 49,080 53,386 49,080 53,386 52,410
Net interest-bearing debt -6,844 -6,855 -6,844 -6,855 -12,632
Cash flow statement
Cash flow from operating activities 1,385 9,444 9,477 26,276 34,476
Capital lease instalments – repayments of lease liabilities 816 811 2,463 2,219 3,080
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 819 906 2,395 3,268 4,163
Cash flow from financing activities -1,200 -1,968 -15,260 -12,534 -14,135
Free cash flow -124 7,787 5,681 20,645 27,107
Financial ratios
Revenue growth -46.7% 37.1% -38.3% 47.2% 32.0%
EBITDA margin 15.5% 47.7% 22.3% 47.5% 45.2%
EBIT margin 4.4% 41.6% 11.4% 40.4% 37.9%
Cash conversion 74% 87% 108% 87% 94%
Return on invested capital after tax (ROIC) (last twelve months) 17.7% 66.6% 17.7% 66.6% 60.4%
Equity ratio 67.1% 67.6% 67.1% 67.6% 69.4%
Underlying ROIC
1
(last twelve months) 17.5% 68.1% 17.5% 68.1% 61.2%
Underlying EBITDA
1
1,907 10,851 8,860 30,326 36,843
Underlying EBITDA margin
1
15.7% 47.7% 22.5% 47.6% 45.2%
Underlying EBIT
1
450 9,381 4,482 26,242 31,244
Underlying EBIT margin
1
3.7% 41.2% 11.4% 41.2% 38.3%
Stock market ratios
Earnings per share, USD 31 488 250 1,318 1,600
Diluted earnings per share, USD 31 487 249 1,313 1,595
Cash flow from operating activities per share, USD 87 519 556 1,428 1,889
Share price (B share), end of period, DKK 12,735 13,865 12,735 13,865 15,620
Share price (B share), end of period, USD 1,809 1,817 1,809 1,817 2,242
Total market capitalisation, end of period, USD 29,490 32,099 29,490 32,099 39,135
1 Definition of terms See page 26.
Summary financial information
AMOUNTS IN USD MILLION
Management review I Summary financial information
4
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Financials reflect significantly lower freight rates
Revenue decreased by USD 10.6bn to USD 12.1bn (USD 22.8bn) in
Q3 2023, with a decrease in Ocean by USD 10.1bn, in Logistics &
Services by USD 665m and in Terminals by USD 118m.
The results reflect the normalisation from the COVID-19-implied
peak, which resulted in lower volumes and lower rates com-
pared to Q3 2022 and a further reduction compared to Q2 2023,
increasingly impacted by the oversupply situation in Ocean.
EBITDA decreased to USD 1.9bn (USD 10.9bn) due to lower reve-
nue, with a decrease in Ocean of USD 8.8bn because of signifi-
cantly lower freight rates partly offset by lower operating costs,
in Logistics & Services by USD 55m due to lower rates and in
Terminals by USD 38m caused by lower storage revenue.
Ocean
(Q3 2022: 9.9bn)
Logistics & Services
(Q3 2022: 394m)
Terminals
(Q3 2022: 391m)
1.1bn 339m 353m
Review Q3 2023
EBIT decreased to USD 538m (USD 9.5bn), with an EBIT margin
of 4.4% (41.6%), negatively impacted by the decreased EBITDA,
specifically in Ocean. In Logistics & Services, the EBIT margin
was 3.9% (6.2%), impacted by lower rates and lower volumes for
lead logistics and e-commerce and higher depreciation from an
increased footprint. In Terminals, the decrease in EBIT was driven
by the lower storage revenue and the net positive USD 32m
impact from divestments and impairments taken in Q3 2022.
Ocean
(Q3 2022: 8.7bn)
Logistics & Services
(Q3 2022: 258m)
Terminals
(Q3 2022: 357m)
-27m 136m 270m
Financial items, net, was a gain of USD 153m (loss of USD 303m),
positively impacted by increased interest income, decreased
interest expense and foreign exchange rate impact.
Tax decreased to USD 137m (USD 263m), primarily due to lower
profit before tax.
Multi-year comparison of financials
From 2020 to 2022, the supply side of the logistics industry was
disrupted by COVID-19, which accelerated already existing issues in
the global supply chains with a significant impact on world trade.
The demand for logistics services significantly increased, and, in turn,
freight rates saw all-time highs due to capacity shortages, where
container availability and air capacity remained tight, and wait times
for vessels outside of ports remained lengthy given the bottlenecks
in landside transportation and warehousing.
As a result of this exceptional market, freight rates peaked in Q3
2022, which was the 16th quarter in a row with year-on-year earn-
ings growth for A.P. Moller - Maersk. After that, the high demand
eventually started to normalise as congestions eased, and consumer
demand declined leading to an inventory overhang, the correction
of which resulted in rapid and steep declines in shipped volumes
and rates starting in late Q3 2022.
In Q3 2023, the deterioration of rates regained momentum this time
as a result of increased supply in Ocean.
Selected financials for Q3 2019-2023 USD million
Q3 Q3 Q3 Q3 Q3
Income statement 2023 2022 2021 2020 2019
Revenue 12,129 22,767 16,612 9,917 10,055
Ocean 7,897 18,018 13,093 7,118 7,423
Logistics & Services 3,517 4,182 2,601 1,891 1,702
Terminals 999 1,117 1,027 816 833
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 1,878 10,862 6,943 2,297 1,656
Profit before financial items (EBIT) 538 9,477 5,859 1,289 737
Profit for the period 554 8,911 5,461 947 520
Cash flow statement
Cash flow from operating activities 1,385 9,444 6,572 2,176 1,732
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 819 906 610 280 343
Free cash flow -124 7,787 5,298 1,486 946
Financial ratios
Revenue growth -46.7% 37.1% 67.5% -1.4% -0.9%
EBITDA margin 15.5% 47.7% 41.8% 23.2% 16.5%
EBIT margin 4.4% 41.6% 35.3% 13.0% 7.3%
Management review I Review Q3 2023
5
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
The underlying profit of USD 489m (USD 8.8bn) was adjusted
for net gains primarily from the sale of vessels and containers
in Ocean of USD 30m and the net gain after tax from the sale of
US Marine Management of USD 74m.
Cash flow from operating activities of USD 1.4bn (USD 9.4bn)
was driven by EBITDA of USD 1.9bn, partly offset by negative
change in net working capital of USD 435m, translating into
a cash conversion of 74% (87%).
Gross capital expenditure (CAPEX) of USD 819m (USD 906m)
was primarily driven by lower investments in Ocean.
Free cash flow was negative USD 124m (positive USD 7.8bn) im-
pacted by the decreased cash flow from operating activities,
slightly offset by higher financial income and lower capital
expenditures.
Share buy-back
During Q3, A.P. Moller - Maersk bought back 80,706 A shares
and 321,132 B shares, worth DKK 5.2bn (approximately USD
766m), and no shares were bought for the long-term incentive
programme. At 30 September 2023, A.P. Moller - Maersk owns
a total of 212,938 A shares and 898,475 B shares as treasury
shares, corresponding to 6.32% of the share capital.
The Annual General Meeting has authorised the Board of Directors
to allow the company to acquire own shares to the extent that
the nominal value of the company’s total holding of own shares
at no time exceeds 15% of the company’s share capital.
Net interest-bearing debt changed to a net cash position of USD
6.8bn (a net cash position of USD 12.6bn at year-end 2022), as
free cash flow for the first nine months of USD 5.7bn and sale
of companies of USD 960m were offset by share buy-backs of
USD 2.3bn and dividends of USD 10.9bn. Further, lease liabilities
decreased by USD 982m. Excluding lease liabilities, the Group had
a net cash position of USD 17.5bn (USD 24.2bn at year-end 2022).
A.P. Moller - Maersk is investment grade-rated and holds a Baa2
(positive outlook) from Moody’s and a BBB+ (stable) rating from
Standard & Poor’s.
The liquidity reserve decreased to USD 26.8bn (USD 33.3bn at
year-end 2022) and was composed of cash and bank balances
(excluding restricted cash), term deposits and securities of USD
20.7bn (USD 27.3bn at year-end 2022) and undrawn revolving
credit facilities of USD 6.1bn (USD 6.0bn at year-end 2022).
ESG update
In September 2023, the company took delivery of the world’s
first methanol-enabled container vessel, which was named Laura
Mærsk by European Commission President Ursula von der Leyen
at a ceremony in Copenhagen. The green methanol for the vessel’s
first voyage was secured via the company OCI Global, and the fuel
for the months of operation into Q1 2024 has been secured through
an agreement with the international energy company Equinor. Here-
after the vessel will be operated on fuel from the energy devel-
oper European Energy. Over the coming years, the company will
welcome a growing fleet of methanol-enabled large ocean liners,
with currently 24 on order. To accelerate the supply of green fuels
for the industry, A.P. Moller - Maersk together with its majority
shareholder A.P. Moller Holding, has formed a new company - C2X.
This to explore ventures in production of green methanol.
In September, A.P. Moller - Maersk and CMA CGM announced
that the shipping lines will work together to develop high stand-
ards for more sustainable, green fuels as well as for operation
of green methanol vessels with regards to safety and bunker-
ing. The companies will combine efforts to reach their respec-
tive net zero ambitions by exploring the potential of other alter-
native fuels, like ammonia, or innovative technology for vessels.
More over, the companies will pursue joint advocacy particular
encouraging IMO member states to adopt ambitious measures
supporting the energy transition of shipping.
Three major deals were announced with customers for the low-
GHG shipping solution ECO Delivery. A.P. Moller - Maersk and
Amazon have finalised a 2023-2024 agreement for the transport
of 20,000 FFE containers using green biofuel. Volvo Cars has also
chosen to collaborate with A.P. Moller - Maersk with almost 15,000
FFE containers under Maersk ECO Delivery, and global fashion
retailer Inditex has also partnered with A.P. Moller - Maersk to use
alternative fuels for all its ocean cargo with the carrier, alongside
low-emissions pilots on its multi modal transport.
From 1 January 2024, the EU Emissions Trading System (EU
ETS) will extend to include shipping. The cost of compliance is
expected to be significant and will be covered by an ‘Emissions
Surcharge’ to all bookings subject to the EU ETS. ECO Delivery
Ocean bookings will be exempted from EU ETS surcharges from
A.P. Moller - Maersk.
In India, the company took an important step forward by strength-
ening its EV fleet to over 500 vehicles in 26 cities covering first,
middle and last mile distribution across the country. The small EVs
were unveiled in September 2022 and have seen strong demand
from several customers. In the US, A.P. Moller - Maersk continues
to grow its fleet of electric heavy-duty trucks with more than 90
now in operation.
For a full overview of A.P. Moller - Maersk’s ESG strategy and
roadmap, please see www.maersk.com/sustainability
Management review I Review Q3 2023
6
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Financial guidance and targets
Financial guidance for 2023
A.P. Moller - Maersk now sees global container volume growth
in the range of -2% to -0.5% compared to -4% to -1% previously.
Ocean expects to grow in line with the market.
A.P. Moller - Maersk maintains its ranges for the full year 2023
guidance but now expects results towards the lower end of the
previously communicated ranges of underlying EBITDA of USD
9.5-11.0bn and underlying EBIT of USD 3.5-5.0bn. Guidance for
free cash flow (FCF) of at least USD 3.0bn remains unchanged.
CAPEX is now expected at around USD 8.0bn (previously USD
9.0-10.0bn) for 2022-2023 and USD 8.0-9.0bn (previously USD
10.0-11.0bn) for 2023-2024.
Restructuring costs increased to USD 350m (previously USD
150m), of which the majority will be recognised in 2023. The
total cost savings are expected to be around USD 600m in
2024 compared to 2023.
CAPEX guidance 2022-2023 CAPEX guidance 2023-2024
~8.0 8.0-9.0
USDbn
EBITDA Underlying
at lower end of range
EBIT Underlying
at lower end of range
Free cash flow
at least
9.5-11.0 3.5-5.0 3.0
Sensitivity guidance
Financial performance for A.P. Moller - Maersk for 2023 depends on several
factors subject to uncertainties related to the given uncertain macro-
economic conditions, bunker fuel prices and freight rates. All else being
equal, the sensitivities for 2023 for four key assumptions are listed below:
Factors Change Effect on EBIT
(Rest of 2023)
Container freight rate +/- 100 USD/FFE +/- USD 0.3bn
Container freight volume +/- 100,000 FFE +/- USD 0.1bn
Bunker price
(net of expected BAF coverage) +/- 100 USD/tonne +/- USD 0.1bn
Foreign exchange rate
(net of hedges) +/- 10% change in USD +/- USD 0.0bn
Roadmap towards 2025
The mid-term financial targets were introduced at the
Capital Markets Day in May 2021 and relate to the trans-
formation towards becoming the integrator of container
logistics.
Consolidated
The return on invested capital (ROIC) (last twelve months)
was 17.7%, well above the target of above 7.5% every year
under normalised conditions, and above 12% for the period
2021-2025, driven by the increase in profit in particular in
2021 and 2022.
A.P. Moller - Maersk will prioritise the capital allocation
to investments in the business, including acquisitions in
Logistics & Services, repaying debt, paying dividends based
on a pay-out ratio of 30-50% of underlying net profit
and distributing excess cash to shareholders through
share buy-backs and special dividends in that order.
A.P. Moller - Maersk’s share buy-back programme, origi-
nally planned for USD 5.0bn over 2022-2023, has been pro-
gressively extended to USD 12.0bn over 2022-2025 or USD
3.0bn annually. Of the planned share buy-back of around
USD 6.0bn for the years 2022-2023, A.P. Moller - Maersk
has bought back USD 5.5bn as of Q3 2023.
Ocean
Ocean delivered an EBIT margin of 20.0% over the last
twelve months, well above the target of 6% under nor-
malised conditions. Total average operated fleet capacity
is within the range of 4.1-4.3m TEU.
Logistics & Services
For Logistics & Services, organic growth of -14% over the
last twelve months was below the target of 10%. The EBIT
margin for the last twelve months was 3.7% versus the
target of above 6%. While performance is expected to
improve sequentially, it is not expected that the 6% EBIT
target will be achieved for 2023 with the current limited
signs of a substantial rebound in volumes in Q4 2023.
Terminals
The return on invested capital (ROIC) (LTM) was 10.3%
for Terminals, exceeding the expectation of above 9%
towards 2025.
Forward-looking statements
The Interim Report contains forward-looking statements. Such state-
ments are subject to risks and uncertainties as several factors, many of
which are beyond A.P. Moller - Maersk’s control, may cause the actual
development and results to differ materially from expectations contained
in the Interim Report.
Management review I Financial guidance and targets
7
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Global economic growth ticked down in Q3 relative to Q2, driven
by weakening momentum in services. Global manufacturing
activity remains subdued, with the Global Purchasing Managers
Index (PMI) below the threshold of 50 for the 13th consecutive
month in September at 49.1, and no convincing signs of a rebound.
Headline inflation is coming down in Western economies, and
the monetary tightening cycle is close to a peak. Consumer confi-
dence remains weak and volatile. Meanwhile, labour markets are
exceptionally resilient, providing support for consumer demand.
Progress has been made to better align inventory levels with final
demand, but with mixed results across different geographies
and industries.
The US economy continued to defy headwinds in Q3. Consumer
demand remained robust, with an increase of 2.5% in real goods
consumption in July and August 2023 compared to the same
months in 2022. However, the October PMI figures indicate that
the manufacturing sector is at standstill, and that activity in
the services sector has lost steam compared to Q2. Although
inflation is on a declining path, Federal Reserve guidance indi-
cates that monetary policy will remain tight for the near future,
and the chances of imminent relief in financial conditions for
consumers and businesses are low. In the Euro Area, economic
activity has stagnated over the past year, and the latest data are
consistent with flat to negative GDP growth in Q3. Weak demand
for Europe’s manufacturing exports and flat domestic demand
have dragged down growth. The service sector, until recently
still recovering from the pandemic, has also lost steam. In China,
consumers remain hesitant as confidence is very low, amidst high
youth unemployment and economic uncertainty. The property
market is a weak link, and combined with high debt levels, demo-
graphic headwinds and geopolitical tensions, concerns about
the outlook for the Chinese economy are abundant.
Despite mounting headwinds in the world’s top three econo-
mies, global container demand growth improved in Q3 2023 for
two reasons: August seeing a more favourable base effect kick-
ing in, and strong import growth in four regions: Africa, Europe,
India and Middle East, and Latin America. Weakness is primarily
concentrated in imports into North America and East Asia. The
growth estimate for Q3 is in the range of 1% to 3% year-on-year,
after a decline of -4.4% in Q2. Despite recent improvements, full
year 2023 growth is expected to remain negative, in the -2% to
-0.5% range.
On the supply side of the Ocean market, the increasing stream
of vessel deliveries and still limited scrapping activity are push-
ing up fleet growth. Easing supply chain bottlenecks and weaker
demand on long-haul trades have released further capacity.
Although some of the added capacity is being absorbed by slower
steaming and cancelled sailings, the gap between demand and
supply growth remained wide in Q3 2023 in year-on-year terms.
The combination of weak demand, easing bottlenecks and a
pick-up in nominal fleet growth has put downward pressure on
freight rates since Q3 2022. The SCFI Composite Index average
Market insights
in Q3, at 988, was in line with Q2 and 25% above Q3 2019, but saw
a sizeable decline compared to the same period last year of -70%.
Estimates point to a continuation of the decline for Air Freight
volumes in Q3, in line with the -12% year-on-year in Q2 and Q1.
Global cargo load factors, a measure of utilisation of capacity,
declined in Q3. Rates, measured by the Baltic Air Freight Index,
declined 46% compared to Q3 2022, although they are higher
than pre-pandemic.
US Road Freight demand continued to decline in the first two
months of Q3. The American Trucking Associations seasonally
adjusted For-Hire Truck Tonnage Index declined 1.1% in Sep-
tember, after rising 0.2% in August. In Europe, also demand
for trucking services continued to decline throughout Q3. The
Transporeon Road Freight Capacity Index shows that the vol-
ume of rejections of consignments fell, and available capacity
grew 12.5% year-on-year.
In the US, warehouse vacancy rates remained near historical
lows at 4.7% in Q3, according to Cushman & Wakefield. This is
due to high interest rates and tighter lending conditions impact-
ing severely warehousing construction, now at the lowest level
in a decade, with every major US market affected. In Europe,
the vacancy rate also stood at 4.7% at the start of Q3 2023,
according to Savills. This is low by historical standards, but it
is expected to rise as demand slows and construction projects
started in past quarters become available in the market.
The environment for container trade and logistics services
remains challenging. A slowing global economy, risks of finan-
cial stress and a long list of geopolitical tensions, ranging from
tense China-US relations, war in Ukraine and in the Middle East,
can wipe out the improvements expected for Q4 2023 and
2024 volumes.
North America
Latin America
East Asia
Europe
Global
Source: Maersk Strategic Insights
Container trade volumes,
by import region
Index (FY2019=100)
Q1 Q2 Q3 Q4 Q2Q1Q1 Q2 Q3 Q4Q1 Q2 Q3 Q4Q1 Q2 Q3 Q4
2019 2020 2021 20232022
125
100
75
Management review I Market insights
8
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Ocean
Ocean reported a negative EBIT of USD 27m (positive USD 8.7bn)
and an EBITDA of USD 1.1bn (USD 9.9bn). As expected, the results
are significantly below prior-year levels due to continuing chal-
lenging market developments. A significant pressure on rates,
in particular on Asia to Europe, Africa, North America and Latin
America trades, has resulted in a 58% decrease in freight rates
compared to Q3 2022 and a 14% decline compared to Q2 2023.
Volumes, however, have increased by 5.0% compared to a low
volume base in Q3 2022 and by 8.9% compared to Q2 2023, pri-
marily driven by an increase in Asia to Europe, North and Latin
America, India and Middle East, and Africa markets.
Unit cost at fixed bunker decreased by 11% compared to Q3 2022
due to a strong cost focus, driven by lower container handling
costs, lower bunker consumption, lower time charter costs and
increased volumes. Further contributing was a strong utilisation
of offered capacity at 95%, five percentage points higher com-
pared to Q3 2022, and four percentage points higher compared
to Q2 2023. At the same time, global congestion has largely dis-
sipated, and schedule reliability has improved compared to Q3
2022 and Q2 2023.
Ocean highlights USD million
Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Freight revenue 6,687 16,008 22,532 44,918 56,499
Other revenue, including hubs 1,210 2,010 3,941 6,082 7,800
Revenue 7,897 18,018 26,473 51,000 64,299
Container-handling costs 2,360 2,570 6,880 7,737 10,214
Bunker costs 1,470 2,400 4,417 6,243 8,077
Network costs, excluding bunker costs 1,799 1,940 5,180 5,745 7,516
Selling, General & Administration (SG&A) costs 754 743 2,235 2,169 2,947
Cost of goods sold and other operational costs 318 574 1,013 1,402 1,835
Total operating costs 6,701 8,227 19,725 23,296 30,589
Other income/costs, net -63 133 -4 32 60
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 1,133 9,924 6,744 27,736 33,770
EBITDA margin 14.3% 55.1% 25.5% 54.4% 52.0%
Profit before financial items (EBIT) -27 8,734 3,147 24,332 29,149
EBIT margin -0.3% 48.5% 11.9% 47.7% 45.3%
Invested capital 28,843 34,229 28,843 34,229 32,368
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 443 520 1,295 2,193 2,620
Operational and financial metrics
Loaded volumes (FFE in ’000) 3,166 3,016 8,796 9,117 11,924
Loaded freight rate (USD per FFE) 2,095 5,046 2,451 4,862 4,628
Unit cost, fixed bunker (USD per FFE incl. VSA income)
1
2,287 2,563 2,404 2,500 2,533
Bunker price, average (USD per tonne) 593 895 603 777 763
Bunker consumption (tonne in ’000) 2,481 2,682 7,325 8,032 10,579
Average operated fleet capacity (TEU in ’000) 4,166 4,298 4,173 4,290 4,285
Fleet owned (end of period) 310 318 310 318 318
Fleet chartered (end of period) 361 400 361 400 389
1 The 2022 unit cost, fixed bunker figures have been restated as a result of the fixed bunker price being changed to 550 USD/tonne from 450 USD/tonne.
Segments
Ocean performance Q3 2019-2023 USD million
Q3 Q3 Q3 Q3 Q3
2023 2022 2021 2020 2019
Revenue 7,897 18,018 13,093 7,118 7,423
Total operating
costs 6,701 8,227 6,820 5,320 6,133
EBIT -27 8,734 5,337 968 477
EBIT margin -0.3% 48.5% 40.8% 13.6% 6.4%
Operational and
financial metrics
Loaded volumes 3,166 3,016 3,263 3,283 3,405
Loaded freight rate 2,095 5,046 3,561 1,909 1,828
Unit cost, fixed
bunker 2,287 2,563 2,224 1,948 2,005
Financial and operational performance
Revenue decreased by USD 10.1bn to USD 7.9bn (USD 18.0bn),
driven by a decrease in freight revenue of 58% with loaded freight
rates down by 58%, offset by 5.0% higher loaded volumes. Reve-
nue decreased by USD 806m or 9.3% compared to Q2 2023.
Management review I Segments I Ocean
9
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Loaded volumes FFE (’000)
Q3 2023 Q3 2022 Change Change %
East-West 1,496 1,369 127 9.3%
North-South 1,039 979 60 6.1%
Intra-regional 631 668 -37 -5.5%
Total 3,166 3,016 150 5.0%
Average freight rates USD/FFE
Q3 2023 Q3 2022 Change Change %
East-West 1,969 5,654 -3,685 -65.2%
North-South 2,802 5,875 -3,073 -52.3%
Intra-regional 1,438 2,816 -1,378 -48.9%
Total 2,095 5,046 -2,951 -58.5%
Fleet overview, end Q3 2023
Q3 2023 Q4 2022
'000 TEU
Own container vessels 2,363 2,393
Chartered container vessels 1,743 1,828
Total fleet capacity 4,106 4,221
Number of vessels
Own container vessels 310 318
Chartered container vessels 361 389
Total fleet 671 707
EBITDA decreased by USD 8.8bn to USD 1.1bn (USD 9.9bn) due
to lower revenue, partly offset by lower costs, and decreased by
USD 1.1bn compared to Q2 2023. The EBITDA margin decreased by
41 percentage points to 14.3% (55.1%). Similarly, EBIT decreased
by USD 8.8bn to negative USD 27m (positive USD 8.7bn) and
decreased by USD 1.2bn compared to Q2 2023.
Loaded volumes increased by 5.0% to 3,166k FFE (3,016k FFE) due
to higher demand for Asia to Europe, North and Latin America,
India and Middle East, and Africa markets. Loaded volumes
increased by 260k FFE or 8.9% compared to Q2 2023.
The average loaded freight rate decreased by 58% to 2,095
USD/FFE compared to the abnormally high freight rates in Q3
2022 (5,046 USD/FFE), driven by a rate decline in most trades.
The average loaded freight rate decreased by 349 USD/FFE or
14% compared to Q2 2023 (2,444 USD/FFE).
Total operating costs were 19% lower at USD 6.7bn (USD 8.2bn),
despite an increase in volumes. This was driven by lower bunker
costs, lower container handling costs, lower slot charter costs
and lower time charter costs, which decreased by 39%, 8.2%, 29%
and 7.9%, respectively, compared to Q3 2022. Total operating
costs increased by USD 242m or 3.7% compared to Q2 2023,
driven by higher volumes.
Bunker costs decreased by 39% to USD 1.5bn (USD 2.4bn), driven
by a decrease in bunker price of 34% to 593 USD/tonne (895 USD/
tonne) and a 7.5% decrease in bunker consumption. Bunker effi-
ciency improved by 16% to 36.19 g/TEU*NM (43.05 g/TEU*NM).
Bunker costs were 2.1% higher compared to Q2 2023 due to an
increase in consumption.
Unit cost at fixed bunker decreased by 11% to 2,287 USD/FFE
(2,563 USD/FFE), driven by lower container handling costs, lower
bunker consumption, lower TCE costs and higher volumes. The
net impact of foreign exchange rates was negligible. Unit cost
at fixed bunker decreased by 102 USD/FFE or 4.3% compared
to Q2 2023.
The average operated capacity of 4,166k TEU (4,298k TEU)
decreased by 3.1% compared to Q3 2022. The current order book
for carbon-neutral vessels totals 24 at the end of Q3 2023. The
fleet consisted of 310 owned and 361 chartered vessels, of which
164k TEU or 4.0% (27 vessels) of the fleet were idle, including dry
docking and repairs.
Key developments in Q3 2023
Actions have been put in place to neutralise the impact of infla-
tion on the costs of operations while maintaining focus on the
quality and reliability of the Ocean products. A.P. Moller - Maersk
was among the best in industry for schedule reliability in Q3,
and this remains a key focus.
Financial review 9M 2023
Revenue decreased by 48% to USD 26.5bn (USD 51.0bn), driven
by a decrease in loaded freight rate of 50% and 3.5% less vol-
umes. EBITDA decreased by 76% to USD 6.7bn (USD 27.7bn) and
EBITDA margin decreased by 29 percentage points to 25.5%. EBIT
decreased by 87% to USD 3.1bn (USD 24.3bn) and EBIT margin
by 36 percentage points to 11.9%.
Total operating costs decreased by 15% to USD 19.7bn (USD
23.3bn), driven by a decrease in bunker costs of 29% due to both
lower price and lower consumption, as well as a decrease in lower
container handling costs of 11% and lower network costs excl.
bunker of 9.8%. The net impact of foreign exchange rates was
negligible.
Ocean performance 9M 2019-2023 USD million
9M 9M 9M 9M 9M
2023 2022 2021 2020 2019
Revenue 26,473 51,000 33,643 20,918 21,634
Total operating
costs 19,725 23,296 19,438 16,840 18,313
EBIT 3,147 24,332 11,617 1,868 873
EBIT margin 11.9% 47.7% 34.5% 8.9% 4.0%
Operational and
financial metrics
Loaded volumes 8,796 9,117 9,826 9,234 10,002
Loaded freight rate 2,451 4,862 3,088 1,930 1,850
Unit cost,
fixed bunker 2,404 2,500 2,140 2,049 1,957
Management review I Segments I Ocean
10
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Logistics & Services highlights USD million
Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Revenue 3,517 4,182 10,374 10,563 14,423
Direct costs (third-party costs) 2,432 3,162 7,202 7,886 10,717
Gross profit 1,085 1,020 3,172 2,677 3,706
Direct Operating Expenses 484 392 1,407 1,047 1,482
Selling, General & Administration (SG&A) 262 234 799 580 846
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 339 394 966 1,050 1,378
EBITDA margin 9.6% 9.4% 9.3% 9.9% 9.6%
Profit after depreciation and impairment losses, before amortisations (EBITA) 179 295 515 761 944
EBITA margin 5.1% 7.1% 5.0% 7.2% 6.5%
Profit before financial items (EBIT) 136 258 386 675 814
EBIT margin 3.9% 6.2% 3.7% 6.4% 5.6%
Invested capital 10,739 9,616 10,739 9,616 9,858
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 196 163 547 483 657
Operational and financial metrics
EBIT conversion (EBIT/gross profit - %) 12.5% 25.3% 12.2% 25.2% 22.0%
Managed by Maersk revenue
1
586 728 1,689 1,882 2,491
Fulfilled by Maersk revenue
1
1,327 1,393 4,002 3,347 4,916
Transported by Maersk revenue
1
1,604 2,061 4,683 5,334 7,016
Supply chain management volumes (cbm in ’000) 28,745 29,604 76,138 85,696 110,264
Intermodal volumes (FFE in ’000) 1,042 1,192 3,014 3,557 4,526
Air freight volumes (tonne in ’000) 82 73 210 157 211
1 The 2022 by Maersk revenue figures have been restated in order to reflect changes within the Logistics & Services model definition.
Organic/inorganic USD million
Q3-22 Organic Inorganic Q3-23
Revenue 4,182 -901 235 3,517
Growth -22% 6%
EBITA 295 -125 9 179
Fulfilled by Maersk’s total revenue decreased by USD 66m to
USD 1.3bn (USD 1.4bn), driven by lower volumes from Ware-
housing and Distribution (WnD), middle mile and e-commerce
in North America and partly offset by inorganic growth from
LF Logistics.
Transported by Maersk’s total revenue decreased by USD 457m
to USD 1.6bn (USD 2.1bn), due to lower rates in Air, LCL and Inland
in North America and Europe. This was partly offset by higher
volumes and by inorganic revenue growth.
Gross profit increased by USD 65m to USD 1.1bn (USD 1.0bn),
primarily driven by Fulfilled by Maersk affected positively by
the integration of LF Logistics.
EBITDA was USD 339m (USD 394m) and the EBITDA margin 9.6%
(9.4%). EBITA was USD 179m (USD 295m).
EBIT was USD 136m (USD 258m) and the EBIT margin 3.9% (6.2%),
affected by fluctuating freight markets leading to lower rates,
along with a higher cost base due to the expanded scope and
range of activities.
Logistics & Services
Logistics & Services revenue performance was negatively affected
by lower rates, especially in the air and haulage market, as well
as lower volumes for lead logistics and e-commerce compared
to Q3 2022. To preserve margins in a lower-rate environment,
there is an increased focus on cost management. Logistics &
Services has seen sequential volume and revenue increases in
all areas vs. Q2 2023.
Financial and operational performance
Revenue decreased by 16% to USD 3.5bn (USD 4.2bn) driven by
all three by Maersk service models.
Organic revenue growth was negative 22% vs. Q3 2022, affected
by lower rates in Transported by Maersk, lower volumes in Ful-
filled by Maersk and lower rates and volumes in Managed by
Maersk. Negative organic growth was mainly from retail, life-
style, auto motive and technology verticals. The 2022 acquisi-
tion of LF Logistics and the 2023 acquisitions of Martin Bencher
Group and Grindrod Logistics contributed with revenue growth
of USD 235m in Q3 2023.
In Q3 2023, more than half of the decline in organic revenue
was driven by the top 200 customers.
Managed by Maersk’s total revenue decreased by USD 142m
to USD 586m (USD 728m), affected by both lower volume and
lower market rates in Lead Logistics.
Management review I Segments I Logistics & Services
11
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Key developments in Q3 2023
In Fulfilled by Maersk, 592k sqm or 16% more capacity was added
organically versus Q3 2022. Total organic capacity was 4.4m sqm
across 272 warehouses. The integration of LF Logistics contrib-
uted with 3.3m sqm across 187 warehouses. Total capacity was
7.7m sqm across 459 warehouses.
In Transported by Maersk, the Less than Container Load (LCL)
value proposition continues to be strengthened and more than
70 new lanes were added in Q3 2023, building a total LCL net-
work of over 570 own direct consolidation lanes versus less
than 350 in Q3 2022.
Financial review 9M 2023
Revenue was USD 10.4bn (USD 10.6bn) with a decrease in Man-
aged by Maersk by 10% to USD 1.7bn (USD 1.9bn), driven by the
decrease of Lead Logistics supply chain management volumes
of 11% to 76,138 kcbm (85,696 kcbm). Transported by Maersk
decreased to USD 4.7bn (USD 5.3bn), driven by lower air freight
rates as well as lower Intermodal volumes by 15% to 3,014k FFE
(3,557k FFE). Fulfilled by Maersk increased revenue to USD 4.1bn
(USD 3.3bn) as result of the integration of LF Logistics and Pilot.
EBITDA decreased to USD 1.0bn (USD 1.1bn), and EBIT decreased
to USD 386m (USD 675m).
Organic/inorganic USD million
9M-22 Organic Inorganic 9M-23
Revenue 10,563 -1,843 1,654 10,374
Growth -17% 16%
EBITA 761 -294 48 515
Terminals
Following a weak Q1 2023, global demand picked up in most
regions, largely in line with Q3 2022. The US market remains
weaker compared to 2022, though on a global scale it is com-
pensated by growth in both Latin America and Africa. Conse-
quently Terminals´ like-for-like volume (adjusted for exits) was
flat year on year. As global congestion eased, Terminals´ storage
revenue also decreased, driving down overall revenue despite
increased tariff levels (in line with local consumer prices indices).
Even though global inflation continued to be well above historical
levels, costs remained reasonably stable due to effective cost-
saving initiatives.
Financial and operational performance
Revenue decreased by 11% to USD 1.0bn (USD 1.1bn), driven by
storage normalisation and a 4.1% volume decline (decreased by
0.3% like-for-like excluding exits). The volume decline is mostly
driven by the ongoing construction in GTI, Mumbai, as well as
exits in Itajai, Brazil, and Luanda, Angola. Utilisation decreased
to 76% (81%) due to a 5.9% increase in capacity in existing ter-
minals, mainly in the USA. Revenue per move decreased by 6.5%
to USD 314 (USD 335), purely due to lower storage revenue as
underlying tariffs have been increased in line with local infla-
tion. Cost per move decreased by 5.0% to USD 244 (USD 256)
due to the impact of exits with lower energy costs being offset
by higher depreciation from progress on modernisation projects
in Los Angeles, USA, and Onne, Nigeria.
At fixed foreign exchange rates and terminal mix, revenue per
move decreased by 6.4% while cost per move remained at par.
Terminals highlights USD million
Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Revenue 999 1,117 2,825 3,372 4,371
Concession fees (excl. capitalised lease expenses) 88 96 231 283 362
Labour costs (blue collar) 291 322 822 943 1,270
Other operational costs 131 159 405 483 638
Selling, General & Administration (SG&A) and other costs, etc. 136 149 392 416 566
Total operating costs 646 726 1,850 2,125 2,836
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 353 391 975 1,247 1,535
EBITDA margin 35.3% 35.0% 34.5% 37.0% 35.1%
Profit/loss before financial items (EBIT) 270 357 746 600 832
EBIT margin 27.0% 32.0% 26.4% 17.8% 19.0%
Invested capital 7,674 7,417 7,674 7,417 7,593
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 113 199 321 384 516
Operational and financial metrics
Volumes – financially consolidated (moves in ’000) 3,168 3,305 9,036 9,682 12,752
Ocean segment 1,125 1,231 3,155 3,505 4,558
External customers 2,043 2,074 5,881 6,177 8,194
Revenue per move – financially consolidated (USD) 314 335 311 346 341
Cost per move – financially consolidated (USD) 244 256 246 260 263
Result from joint ventures and associated companies (USDm) 67 207 191 -106 -46
Management review I Segments I Logistics & Services I Terminals
12
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
EBITDA decreased by USD 38m to USD 353m, due to the nor-
malisation of storage revenue. The EBITDA margin was main-
tained at par at 35%.
EBIT decreased to USD 270m (USD 357m) driven by the lower
storage revenue and the net positive USD 32m impact from
divestments and impairments taken in Q3 2022 in relation to
the divestments of Global Port Investments (GPI) and Sociedade
Gestora de Terminais, S.A. (Sogester).
ROIC (LTM average) increased to 10.3% (8.2%). Adjusted for the
impairment of GPI, ROIC was 12.8% in Q3 2022.
CAPEX declined to USD 113m (USD 199m), mainly due to a large
batch of automated equipment purchased in Los Angeles, USA,
in Q3 2022.
Regional volume
In Europe, volume increased by 3.9% due to strong demand in
Poti, Georgia, partly offset by a weaker market in Aarhus, Den-
mark, while utilisation decreased slightly to 76% (78%) due to
increased capacity.
In North America, volume decreased by 3.0% due to weaker
market in Los Angeles, USA, and Port Elizabeth, USA, which in
combination with an increase in capacity reduced utilisation to
78% (96%).
In Latin America, volume decreased by 4.1%, purely driven by
the exit in Itajai, Brazil, with volumes in the rest of the port folio
increasing 4.7% driven by Buenos Aires, Argentina. Utilisation
remained almost on par at 78% (77%).
In Asia and Middle East, volume decreased by 6.2%, purely driven
by ongoing construction in Mumbai, India, where one berth was
unavailable, reducing utilisation to 77% (80%). Excluding Mumbai
volume grew 5.7%.
In Africa, volume decreased by 22% purely due to the divestment
of Luanda, Angola. Adjusted for the exit, volume increased
by 7.5%, mainly driven by San Pedro, Côte d’Ivoire, and Apapa,
Nigeria. Accordingly, utilisation increased to 65% (60%).
Results from joint ventures and associated companies
The share of profits in joint ventures and associated companies
decreased to USD 67m (USD 207m), largely driven by gains from
divestment of GPI in 2022.
Key developments in Q3 2023
APM Terminals Lazaro Cardenas has begun the construction of
its USD 140m Phase II expansion. The project will increase the
capacity of the first semi-automated facility in Latin America
with an additional one million TEUs and position it as a hub for
the Americas region.
Terminals has concluded negotiations with the Argentinian
govern ment for the extension of the concession of its T4 ter-
minal in Puerto Nuevo for a period of three years until May
2027. The terminal will be expanded to incorporate part of
the adjacent facility, in line with the government plan for the
future of the port.
APM Terminals Mumbai recently resumed operations on its
second berth which is now equipped with new advanced ship-
to-shore cranes. With this, the terminal will be able to operate
two berths and increase volume back to previous levels.
Financial review 9M 2023
Revenue of USD 2.8bn (USD 3.4bn) was driven by significantly
lower storage revenue and a 6.7% decrease in volume (decrease
of 3.2% like-for-like), partly due to exits. Capacity utilisation
decreased to 71% (79%).
Regional volume
1
Moves (’000)
Q3 2023 Q3 2022 Growth %
North America 834 859 -3.0
Latin America 599 625 -4.1
Europe and the Baltics 719 692 3.9
Africa 210 270 -22.1
Asia and Middle East 806 589 -6.2
Total 3,168 3,305 -4.1
1 Financially consolidated.
Terminals performance 9M 2019-2023 USD million
9M 9M 9M 9M 9M
2023 2022 2021 2020 2019
Revenue 2,825 3,372 2,911 2,279 2,476
Total operating
costs 1,850 2,125 1,840 1,607 1,816
EBIT 746 600 866 512 479
EBITDA margin 34.5% 37.0% 36.8% 29.5% 26.7%
Operational and
financial metrics
ROIC 10.3% 8.2% 10.0% 5.2% 5.9%
Volumes 9,036 9,682 9,544 8,357 8,933
Revenue per move 311 346 304 272 314
Cost per move 246 260 236 237 278
Terminals performance Q3 2019-2023 USD million
Q3 Q3 Q3 Q3 Q3
2023 2022 2021 2020 2019
Revenue 999 1,117 1,027 816 833
Total operating
costs 646 726 648 542 570
EBIT 270 357 324 206 203
EBITDA margin 35.3% 35.0% 36.9% 33.6% 31.6%
Operational and
financial metrics
ROIC 10.3% 8.2% 10.0% 5.2% 5.9%
Volumes 3,168 3,305 3,257 2,973 3,088
Revenue per move 314 335 314 274 312
Cost per move 244 256 238 229 263
Management review I Segments I Terminals
13
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Revenue per move decreased to USD 311 (USD 346), driven by
lower storage revenue and negative rate of exchange impact.
Cost per move decreased to USD 246 (USD 260), due to positive
terminal mix and exits.
EBITDA decreased to USD 975m (USD 1.2bn), driven by lower
storage revenue, while EBIT increased to USD 746m (USD 600m),
driven by the negative impact of the GPI divestment in 2022.
Towage & Maritime Services
Revenue was USD 483m (USD 591m) with an EBITDA of USD
90m (USD 127m) and an EBIT of USD 194m (USD 100m), mainly
as a result of the gain from the sales of shares in Höegh Auto-
liners AS and net gain on sale of U.S. Marine Management.
Towage
Financial and operational performance
Revenue increased by USD 18m to USD 206m (USD 188m), and
the increase was 8.8% when adjusted for foreign exchange. Har-
bour Towage revenue increased by USD 16m, driven by activity
and tariff increases across most regions and a new port entry in
Brazil. Terminal towage revenue increased by USD 2m, driven by
increased activity in Americas and a new contract in Europe.
EBITDA increased to USD 59m (USD 53m) due to increased rev-
enue, partly offset by increased crew and other operating costs.
EBIT increased to USD 34m (USD 30m), driven by the higher
EBITDA, slightly offset by higher depreciations.
The share of profit in joint ventures and associated companies
was USD 6m (USD 5m).
Maritime Services
For Maersk Container Industry, revenue decreased by USD
29m to USD 114m (USD 143m), driven by lower market demand.
EBITDA decreased by USD 17m to USD 10m (USD 27m) as lower
revenue was partly offset by lower costs. EBIT increased to USD
8m (USD 2m) as 2022 was negatively impacted by reinstate-
ment of depreciation and impairment costs as the company
was no longer classified as assets held for sale.
EBIT in Other Maritime Services includes USD 29m (USD 35m)
from Höegh Autoliners AS, classified as an associate. Further,
EBIT is positively impacted by the gain from sale of shares.
The planned divestment of U.S. Marine Management Inc. was
completed in Q3 2023 with a net gain on sale before taxes of
USD 94m.
Financial review 9M 2023
Revenue was USD 1.6bn (USD 1.7bn) with an EBITDA of USD 232m
(USD 287m) while EBIT improved to USD 350m (USD 185m), pos-
itively impacted by the gain from the divestment of U.S. Marine
Manage ment in 2023 where the comparison financials for 2022
were negatively impacted by the impairment loss in Höegh Auto-
liners AS.
Revenue in Towage increased to USD 617m (USD 578m), and
EBITDA was USD 180m (USD 169m), as increased revenue was
partly offset by higher operating costs. EBIT increased to USD
106m (USD 80m) considering the impairment costs in 2022,
driven by the withdrawal from operations in Russia.
Maersk Container Industry reported a revenue of USD 338m (USD
418m) and an EBITDA of USD 27m (USD 40m). EBIT improved to
USD 19m (USD 15m) due to reinstatement of impairment in 2022
as the company is no longer classified as assets held for sale.
The divestment of Maersk Supply Service was completed in
May 2023 with a net gain on sale of USD 15m.
Management review I Segments I Terminals I Towage & Maritime Services
14
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Financial results reflect market normalisation
Revenue decreased by USD 24.4bn to USD 39.3bn (USD 63.7bn)
in 9M 2023, with a decrease in Ocean of USD 24.5bn, in Logistics
& Services by USD 189m and in Terminals by USD 547m.
Revenue in Ocean reflects the inventory corrections seen in
Western economies in 2023 with lower volumes and signifi-
cantly lower freight rates. In Logistics & Services, total revenue
decreased, due to destocking in the USA in lifestyle and retail
volumes as well as lower air freight rates, only partially compen-
sated by increased revenue from the integration of LF Logistics
and Martin Bencher. Revenue decreased in Terminals due to
lower volumes and significantly lower storage revenue, par-
ticularly in North America.
EBITDA decreased to USD 8.8bn (USD 30.3bn), with a decrease
in Ocean of USD 21.0bn due to lower revenue, a decrease in
Logistics & Services of USD 84m and in Terminals of USD 272m.
Ocean
(9M 2022: 27.7bn)
Logistics & Services
(9M 2022: 1.1bn)
Terminals
(9M 2022: 1.2bn)
6.7bn 966m 975m
EBIT decreased by USD 21.3bn to USD 4.5bn (USD 25.7bn),
impacted by the declining EBITDA. The EBIT margin decreased
to 11.4% (40.4%).
Ocean
(9M 2022: 24.3bn)
Logistics & Services
(9M 2022: 675m)
Terminals
(9M 2022: 600m)
3.1bn 386m 746m
Review 9M 2023
Financial items, net, was a gain of USD 327m (loss of USD 800m),
as the increase in interest income and derivative gains on cur-
rency was only partly offset by interest expenses.
Tax decreased to USD 434m (USD 598m), primarily due to lower
profit before tax.
The underlying profit of USD 4.4bn (USD 24.8bn) was adjusted
for net gains of USD 440m, primarily due to vessel and con-
tainer sales in Ocean of USD 254m and the net gain after tax
from the sale of US Marine Management of USD 74m. This was
offset by the impairment and restructuring charges for the
A.P. Moller - Maersk brands of USD 407m of the previously com-
municated USD 450m, with the process ongoing into Q4 2023.
Cash flow from operating activities of USD 9.5bn (USD 26.3bn)
was driven by EBITDA of USD 8.8bn and stronger net working
capital of USD 930m due to improved trade receivables, trans-
lating into a strong cash conversion of 108% (87%).
Gross capital expenditure (CAPEX) was USD 2.4bn (USD 3.3bn),
driven by lower container investments in Ocean.
Free cash flow decreased to USD 5.7bn (USD 20.6bn), negatively
impacted by lower cash flow from operating activities, partly offset
by lower CAPEX and higher financial income and sales proceeds.
The dividend of DKK 4,300 per A.P. Møller - Mærsk A/S share of
nominally DKK 1,000 (USD 10.9bn), declared at the Annual General
Meeting on 28 March 2023, was paid on 31 March 2023. With-
holding tax of USD 1.5bn was paid in Q2 2023.
Total equity decreased to USD 56.0bn (USD 65.0bn on 31 Decem-
ber 2022), due to higher dividend payments and share buy-backs
partly offset by net profit of USD 4.4bn, resulting in an equity
ratio of 67.1% (69.4% at year-end 2022).
Multi-year comparison of financials USD million
9M 9M 9M 9M 9M
Income statement 2023 2022 2021 2020 2019
Revenue 39,324 63,709 43,281 28,485 29,222
Ocean 26,473 51,000 33,643 20,918 21,634
Logistics & Services 10,374 10,563 6,814 4,902 4,802
Terminals 2,825 3,372 2,911 2,279 2,476
Profit before depreciation, amortisation and impairment losses, etc. (EBITDA) 8,752 30,273 16,046 5,515 4,249
Profit before financial items (EBIT) 4,471 25,738 13,040 2,592 1,383
Profit for the period 4,364 24,340 11,924 1,599 570
Cash flow statement
Cash flow from operating activities 9,477 26,276 14,142 5,259 4,384
Gross capital expenditure, excl. acquisitions and divestments (CAPEX) 2,395 3,268 1,391 952 1,566
Free cash flow 5,681 20,645 10,900 2,982 1,540
Financial ratios
Revenue growth -38.3% 47.2% 51.9% -2.5% 0.7%
EBITDA margin 22.3% 47.5% 37.1% 19.4% 14.5%
EBIT margin 11.4% 40.4% 30.1% 9.1% 4.7%
Management review I Review 9M 2023
15
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Financials
Condensed income statement
Note Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
1 Revenue 12,129 22,767 39,324 63,709 81,529
1 Profit before depreciation, amortisation and impairment losses, etc.
(EBITDA) 1,878 10,862 8,752 30,273 36,813
Depreciation, amortisation and impairment losses, net 1,584 1,649 5,035 4,574 6,186
4 Gain on sale of non-current assets, etc., net 136 4 439 68 101
Share of profit/loss in joint ventures and associated companies 108 260 315 -29 132
1 Profit before financial items (EBIT) 538 9,477 4,471 25,738 30,860
Financial items, net 153 -303 327 -800 -629
Profit before tax 691 9,174 4,798 24,938 30,231
Tax 137 263 434 598 910
Profit for the period 554 8,911 4,364 24,340 29,321
Of which:
Non-controlling interests 33 32 106 92 123
A.P. Møller - MærskA/S’ share 521 8,879 4,258 24,248 29,198
Earnings per share, USD 31 488 250 1,318 1,600
Diluted earnings per share, USD 31 487 249 1,313 1,595
Condensed statement of comprehensive income
Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Profit for the period 554 8,911 4,364 24,340 29,321
Translation from functional currency to presentation currency -176 -440 -235 -904 -551
Reclassified to income statement, gain on sale of non-current assets,
etc., net 2 53 42 62 53
Cash flow hedges -55 22 -77 34 115
Tax on other comprehensive income -3 -10 -4 -19 -10
Share of other comprehensive income of joint ventures and associated
companies, net of tax - 9 2 8 6
Total items that have been ormay be reclassified subsequently to the
income statement -232 -366 -272 -819 -387
Other equity investments -11 7 -9 88 54
Actuarial gains/losses on defined benefit plans, etc. - - 1 - 36
Tax on other comprehensive income - - - - 30
Total items that will not be reclassified to the income statement -11 7 -8 88 120
Other comprehensive income, net of tax -243 -359 -280 -731 -267
Total comprehensive income for the period 311 8,552 4,084 23,609 29,054
Of which:
Non-controlling interests 25 16 96 63 92
A.P. Møller - MærskA/S’ share 286 8,536 3,988 23,546 28,962
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
16
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Condensed balance sheet at 30 September
30 September
2023
30 September
2022
31 December
2022
Intangible assets 10,183 10,683 10,785
Property, plant and equipment 27,617 27,757 28,194
Right-of-use assets 9,924 11,088 10,967
Financial non-current assets, etc. 3,364 3,317 3,272
Deferred tax 412 372 399
Total non-current assets 51,500 53,217 53,617
Inventories 1,769 1,902 1,604
2 Receivables, etc. 22,475 25,333 27,391
Securities - - 942
Cash and bank balances 7,630 8,334 10,057
Assets held for sale 85 272 69
Total current assets 31,959 35,841 40,063
Total assets 83,459 89,058 93,680
30 September
2023
30 September
2022
31 December
2022
3 Equity attributable to A.P. Møller - MærskA/S 54,874 59,160 63,991
Non-controlling interests 1,099 1,071 1,041
Total equity 55,973 60,231 65,032
Lease liabilities, non-current 7,853 8,550 8,582
Borrowings, non-current 4,030 3,660 3,774
Other non-current liabilities 2,784 3,024 2,971
Total non-current liabilities 14,667 15,234 15,327
Lease liabilities, current 2,779 3,122 3,032
Borrowings, current 191 192 255
Other current liabilities 9,835 10,113 10,025
Liabilities associated with assets held for sale 14 166 9
Total current liabilities 12,819 13,593 13,321
Total liabilities 27,486 28,827 28,648
Total equity and liabilities 83,459 89,058 93,680
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
17
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Condensed cash flow statement
Note Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Profit before financial items 538 9,477 4,471 25,738 30,860
Non-cash items, etc. 1,437 1,354 4,603 4,582 6,225
Change in working capital -435 -1,207 930 -3,486 -1,808
Cash flow from operating activities before tax 1,540 9,624 10,004 26,834 35,277
Taxes paid -155 -180 -527 -558 -801
Cash flow from operating activities 1,385 9,444 9,477 26,276 34,476
Purchase of intangible assets and property, plant and equipment (CAPEX) -819 -906 -2,395 -3,268 -4,163
Sale of intangible assets and property, plant and equipment 40 109 555 256 303
4 Acquisition of subsidiaries and activities - -3,218 -138 -4,754 -4,774
4 Sale of subsidiaries and activities 240 1 960 21 2
Acquisition of joint ventures and associated companies -17 - -18 - -46
Sale of joint ventures and associated companies 114 235 188 216 219
Dividends received 111 142 184 244 327
Sale of other equity investments - 6 22 26 31
Financial investments, etc., net -2,578 -5,100 4,183 -9,527 -13,518
Cash flow from investing activities -2,909 -8,731 3,541 -16,786 -21,619
Repayments of/proceeds from borrowings, net 414 -105 152 -752 -717
Repayments of lease liabilities -816 -811 -2,463 -2,219 -3,080
Financial payments, net 114 -56 745 -267 -238
Financial expenses paid on lease liabilities -139 -135 -422 -377 -518
Purchase of treasury shares -763 -858 -2,349 -2,053 -2,738
Dividends distributed - - -10,876 -6,847 -6,847
Dividends distributed to non-controlling interests -22 -12 -67 -55 -78
Other equity transactions 12 9 20 36 81
Cash flow from financing activities -1,200 -1,968 -15,260 -12,534 -14,135
Net cash flow for the period -2,724 -1,255 -2,242 -3,044 -1,278
Cash and cash equivalents, beginning of period 10,405 9,688 10,038 11,565 11,565
Currency translation effect on cash and bank balances -69 -103 -184 -191 -249
Cash and cash equivalents, end of period 7,612 8,330 7,612 8,330 10,038
Of which classified as assets held for sale -1 -18 -1 -18 -1
Cash and cash equivalents, end of period 7,611 8,312 7,611 8,312 10,037
Cash and cash equivalents
Cash and bank balances 7,630 8,334 7,630 8,334 10,057
Overdrafts 19 22 19 22 20
Cash and cash equivalents, end of period 7,611 8,312 7,611 8,312 10,037
Cash and bank balances include USD 1.1 bn (USD 1.4 bn at 31 December 2022) relating to cash and bank balances in countries with exchange control
or other restrictions. These funds are not readily available for general use by the parent company or other subsidiaries.
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
18
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Condensed statement of changes in equity
A.P. Møller - Mærsk A/S
Note Share
capital
Trans-
lation
reserve
Reserve
for other
equity
invest-
ments
Reserve
for
hedges
Retained
earnings
Total Non-
controlling
interests
Total
equity
Equity 1 January 2023 3,392 -1,232 212 -27 61,646 63,991 1,041 65,032
Other comprehensive income,
net of tax - -78 -51 -79 -62 -270 -10 -280
Profit for the period - - - - 4,258 4,258 106 4,364
Total comprehensive income
for the period - -78 -51 -79 4,196 3,988 96 4,084
Dividends to shareholders - - - - -10,824 -10,824 -69 -10,893
Value of share-based payment - - - - 21 21 - 21
Acquisition of non-controlling
interests
Sale of non-controlling interests - - - - - - 1 1
3 Purchase of treasury shares - - - - -2,304 -2,304 - -2,304
3 Sale of treasury shares - - - - 22 22 - 22
3 Capital increases and decreases -206
Transfer of gain/loss on disposal
of equity investments to retained
earnings - - 2 - -2 - - -
Transfer of cash flow hedge reserve
to non-current assets - - - -4 - -4 - -4
Total transactions with
shareholders -206 - 2 -4 -12,897 -13,105 -38 -13,143
Equity 30 September 2023 3,186 -1,310 163 -110 52,945 54,874 1,099 55,973
Equity 1 January 2022 3,513 -767 135 -160 41,787 44,508 1,080 45,588
Other comprehensive income,
net of tax - -810 88 13 7 -702 -29 -731
Profit for the period - - - - 24,248 24,248 92 24,340
Total comprehensive income
for the period - -810 88 13 24,255 23,546 63 23,609
-
Dividends to shareholders - - - - -6,845 -6,845 -57 6,902
Value of share-based payment - - - - 16 16 - 16
Sale of non-controlling interests - - - - - - -30 -30
3 Purchase of treasury shares - - - - -2,090 -2,090 - -2,090
3 Sale of treasury shares - - - - 25 25 - 25
3 Capital increases and decreases -121 - - - 121 - 15 15
Transfer of gain/loss on disposal
of equity investments to retained
earnings - - -14 - 14 - - -
Total transactions with
shareholders -121 - -14 - -8,759 -8,894 -72 -8,966
Equity 30 September 2022 3,392 -1,577 209 -147 57,283 59,160 1,071 60,231
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
19
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Note 1 Segment information
Ocean Logistics
& Services
Terminals Towage &
Maritime
Services
Unallo-
cated
items
Elimi-
nations
Consoli-
dated
total
Q3 2023
External revenue 7,431 3,559 733 378 28 - 12,129
Inter-segment revenue 466 -42 266 105 10 -805 -
Total revenue 7,897 3,517 999 483 38 -805 12,129
Profit before depreciation, amortisation
and impairment losses, etc. (EBITDA) 1,133 339 353 90 -37 - 1,878
Profit before financial items (EBIT) -27 136 270 194 -39 4 538
Key metrics
Invested capital 28,843 10,739 7,674 1,982 -122 -36 49,080
Gross capital expenditures, excl.
acquisitions and divestments (CAPEX) 443 196 113 60 4 3 819
Ocean Logistics
& Services
Terminals Towage &
Maritime
Services
Unallo-
cated
items
Elimi-
nations
Consoli-
dated
total
Q3 2022
External revenue 17,112 4,293 838 499 25 - 22,767
Inter-segment revenue 906 -111 279 92 6 -1,172 -
Total revenue 18,018 4,182 1,117 591 31 -1,172 22,767
Profit before depreciation, amortisation
and impairment losses, etc. (EBITDA) 9,924 394 391 127 51 -25 10,862
Profit before financial items (EBIT) 8,734 258 357 100 50 -22 9,477
Key metrics
Invested capital 34,229 9,616 7,417 2,660 -479 -57 53,386
Gross capital expenditures, excl.
acquisitions and divestments (CAPEX) 520 163 199 58 7 -41 906
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
20
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Note 1 Segment information – continued
Ocean Logistics
& Services
Terminals Towage &
Maritime
Services
Unallo-
cated
items
Elimi-
nations
Consoli-
dated
total
9M 2023
External revenue 25,268 10,520 2,096 1,355 85 - 39,324
Inter-segment revenue 1,205 -146 729 234 29 -2,051 -
Total revenue 26,473 10,374 2,825 1,589 114 -2,051 39,324
Profit before depreciation, amortisation
and impairment losses, etc. (EBITDA) 6,744 966 975 232 -164 -1 8,752
Profit before financial items (EBIT) 3,147 386 746 350 -170 12 4,471
Key metrics
Invested capital 28,843 10,739 7,674 1,982 -122 -36 49,080
Gross capital expenditures, excl.
acquisitions and divestments (CAPEX) 1,295 547 321 223 13 -4 2,395
Ocean Logistics
& Services
Terminals Towage &
Maritime
Services
Unallo-
cated
items
Elimi-
nations
Consoli-
dated
total
9M 2022
External revenue 48,869 10,765 2,587 1,412 76 - 63,709
Inter-segment revenue 2,131 -202 785 313 19 -3,046 -
Total revenue 51,000 10,563 3,372 1,725 95 -3,046 63,709
Profit before depreciation, amortisation
and impairment losses, etc. (EBITDA) 27,736 1,050 1,247 287 -19 -28 30,273
Profit before financial items (EBIT) 24,332 675 600 185 -40 -14 25,738
Key metrics
Invested capital 34,229 9,616 7,417 2,660 -479 -57 53,386
Gross capital expenditures, excl.
acquisitions and divestments (CAPEX) 2,193 483 384 232 21 -45 3,268
USD million Types of revenue Q3
2023
Q3
2022
9M
2023
9M
2022
12M
2022
Ocean Freight revenue 6,687 16,008 22,532 44,918 56,499
Other revenue, including hubs 1,210 2,010 3,941 6,082 7,800
Logistics & Services Managed by Maersk
1
586 728 1,689 1,882 2,491
Fulfilled by Maersk
1
1,327 1,393 4,002 3,347 4,916
Transported by Maersk
1
1,604 2,061 4,683 5,334 7,016
Terminals Terminal services 999 1,117 2,825 3,372 4,371
Towage & Maritime Services Towage services 206 188 617 578 774
Sale of containers and spare parts 114 143 338 418 499
Offshore supply services - 113 111 291 390
Other shipping activities 72 77 217 214 282
Other services 91 70 306 224 348
Unallocated activities and eliminations -767 -1,141 -1,937 -2,951 -3,857
Total revenue 12,129 22,767 39,324 63,709 81,529
1 The 2022 by Maersk revenue figures have been restated in order to reflect changes within the Logistics & Services model definition.
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
21
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Note 3 Share capital
Development in the number of shares:
A shares of B shares of Nominal value
DKK 1,000 DKK 500 DKK 1,000 DKK 500 DKK million USD million
1 January 2022 10,468,107 216 8,907,718 166 19,376 3,513
Conversion 1 -2 3 -6 - -
Cancellations 133,779 - 535,076 - 669 121
30 September 2022 10,334,329 214 8,372,645 160 18,707 3,392
1 January 2023 10,334,329 214 8,372,645 160 18,707 3,392
Conversion 1 -2 1 -2 - -
Cancellations 227,390 - 910,056 - 1,137 206
30 September 2023 10,106,940 212 7,462,590 158 17,570 3,186
All shares are fully issued and paid up.
One A share of DKK 1,000 holds two votes. B shares have no voting rights.
At the Annual General Meeting of A.P. Møller - Mærsk A/S on 28 March 2023,
the shareholders decided on the cancellation of treasury shares whereby
the share capital would be decreased from nominally DKK 18,707,161,000
to nominally DKK 17,569,715,000. The cancellation was completed during
Q2 2023.
Development in the holding of treasury shares:
No. of shares of DKK 1,000 Nominal value DKK million % of share capital
Treasury shares 2023 2022 2023 2022 2023 2022
A shares
1 January 207,717 120,494 202 121 1.08% 0.62%
Additions 238,611 147,806 239 148 1.35% 0.79%
Cancellations 227,390 133,779 227 134 1.22% 0.69%
30 September 212,938 134,521 214 135 1.21% 0.72%
B shares
1 January 887,557 549,587 888 549 4.74% 2.84%
Additions 945,029 636,618 945 637 5.36% 3.40%
Cancellations 910,056 535,076 910 535 4.86% 2.76%
Disposals 24,055 27,232 24 27 0.13% 0.14%
30 September 898,475 623,897 899 624 5.11% 3.34%
The share buy-back programme is carried out with the purpose to adjust
the capital structure of the company. Shares which are not used for
hedging purposes for the long-term incentive programmes will be
proposed cancelled at the Annual General Meetings.
Disposals of treasury shares are related to the share option plan and
the restricted share unit plan.
From 1 January 2023 to 30 September 2023, A.P. Møller - Mærsk A/S
bought back as treasury shares 122,806 A shares, with a nominal value
of DKK 123m, and 368,761 B shares, with a nominal value of DKK 369m
from A.P . Møller Holding A/S and 116,162 B shares, with a nominal value of
DKK 116m, from A.P. Møller og Hustru Chastine Mc-Kinney Møllers Familie-
fond, which are considered related parties.
The dividend of DKK 4,300 per share of DKK 1,000 – a total of DKK 74.4bn
is equivalent to USD 10.9bn, excluding treasury shares. Of this, USD 9.4bn
was paid to shareholders on 31 March 2023 and the withholding tax of
USD 1.5bn was paid during Q2 2023. Payment of dividends to share-
holders does not trigger taxes for A.P. Moller - Maersk.
Receivables, etc. amount to USD 22.5bn (USD 27.4bn at 31 December 2022)
and consist primarily of term deposits with a maturity of more than three
months amounting to USD 14.3bn (USD 17.6bn at 31 December 2022).
Note 2 Term deposits
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
22
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Acquisitions during 2023
Grindrod Intermodal Group (Logistics & Services)
On 2 January 2023, the Group completed the acquisition of Grindrod
Logistics. The Group partnered with Grindrod Intermodal Group to merge
the logistics activities of Grindrod Intermodal business and the ocean
activities of the Ocean Africa Container Lines (OACL) with the current
Maersk Logistics & Services products in South Africa. The Grindrod Inter-
modal Group is a well-known and trusted partner in South Africa that
offers a range of logistics and services offerings. The Group has a con-
trolling interest of 51%. The purchase price is USD 37m and resulted in
a provisional goodwill recognised of USD 20m.
Martin Bencher Group (Logistics & Services)
On 2 January 2023, the Group acquired 100% of the shares in Martin
Bencher Group, a Denmark-based project logistics company with pre-
mium competencies within non-containerised project logistics. The
acquisition of Martin Bencher Group will add to the existing project
logistics services already available at Maersk, with a specialised service
offering the combination of solution design, special cargo transpor-
tation and project management services. It will build on existing infra-
structures and knowledge across the existing Project Logistics vertical
in Sales & Marketing, Ocean, and Logistics & Services Special Project
Logistics (SPL). The purchase price is USD 54m and resulted in a provi-
sional goodwill recognised of USD 11m.
The accounting for the current period business combinations are consid-
ered provisional as at 30 September 2023 as the valuation of intangible
assets is not yet finalised.
Sales during 2023
Maersk Supply Service
On 15 May 2023, the sale of Maersk Supply Service to A.P. Møller Holding
was completed for cash proceeds net of cash sold of USD 685m and
resulted in a net gain of USD 15m, which includes the reclassification
of the translation reserve loss of USD 40m from equity to the income
statement. The gain is classified as gain on sale of non-current assets
within the condensed income statement.
The net profit is included within the Towage & Maritime Services seg-
ment as per Note 1 Segment information.
US Marine Management
An agreement was reached to divest U.S. Marine Management LLC in Q3
2023. On 20 September 2023, the sale of US Marine Management LLC
was completed and resulted in a net gain of USD 94m or USD 74m after
tax. The net gain pre-tax is classified as gain on sale of non-current assets
within the condensed income statement.
The net profit is included within the Towage & Maritime Services segment
as per Note 1 Segment information.
Acquisitions during 2022
LF Logistics Holdings Limited (Logistics & Services)
On 31 August 2022, the Group acquired 100% of the shares in LF Logistics
Holdings Limited, a leading omnichannel fulfilment contract logistics
company in Asia Pacific. In Q3 2023, the provisional purchase price allo-
cation was finalised, which did not result in a significant change to the
calculated goodwill.
Pilot Freight Services (Logistics & Services)
On 2 May 2022, the Group acquired 100% of the shares in Pilot Freight
Services, a US-based first, middle and last mile cross-border solutions
provider. In Q2 2023, the provisional purchase price allocation was final-
ised, resulting in a reduction of the calculated goodwill by USD 30m. The
changes were primarily related to the valuation of customer relationships
and deferred tax liabilities.
Senator International (Logistics & Services)
On 2 June 2022, the Group acquired 100% of the shares in Senator Inter-
national, a well-renowned German air-based freight carrier company. In
Q2 2023, the provisional purchase price allocation was finalised, resulting
in an increase of the calculated goodwill by USD 5m. The changes were
primarily related to the valuation of tax payables.
Note 4 Acquisition/sale of subsidiaries
The total commitment across segments of USD 5.4bn (USD 5.0bn
at 31 December 2022) is related to investments for new methanol
container vessels, tugs, aircraft and commitments towards terminal
concession grantors.
Note 5 Commitments
The interim consolidated financial statements have been prepared in
accordance with IAS 34 Interim Financial Reporting as issued by the
International Accounting Standards Board (IASB) and adopted by the
EU and additional Danish disclosure requirements for interim financial
reporting of listed companies. The accounting policies, judgements and
significant estimates are consistent with those applied in the Annual
Report 2022, except for below.
Amendments to IAS 12 Income taxes
In May 2023, the IASB issued amendments to IAS 12 Income taxes,
which provides temporary relief from the requirement to recognise
and disclose deferred taxes arising from enacted or substantively
enacted tax law that implements the Pillar two model rules published
by the OECD, including tax law that implements qualified domestic mini-
mum top-up taxes. The amendments have yet to be adopted by the EU.
The company expects to apply this relief when approved by the EU.
Impairment of brands
On 27 January 2023, it was announced that the Group would move towards
a singular and unified brand by integrating the Maersk brands. Existing
brands were retired during Q1 2023, resulting in the recognition of im-
pairment losses of the full carrying amount of each respective retired
brand on the balance sheet. Total impairment losses related to the retire-
ment of brands in Q1 2023 recognised in the condensed income statement
is USD 299m of which USD 297m is within Ocean and USD 2m is within
Logistics & Services.
Note 6 Accounting policies, judgements and significant estimates
Financials I Interim consolidated financial statements Q3 2023
AMOUNTS IN USD MILLION
23
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Management’s statement
Executive Board
Board of Directors
Management review I Management’s statement
24
A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
2023 2022
Income statement Q3 Q2 Q1 Q4 Q3 Q2 Q1
Revenue 12,129 12,988 14,207 17,820 22,767 21,650 19,292
Profit before depreciation, amortisation and impairment
losses, etc. (EBITDA) 1,878 2,905 3,969 6,540 10,862 10,327 9,084
Depreciation, amortisation and impairment losses, net 1,584 1,571 1,880 1,612 1,649 1,418 1,507
Gain on sale of non-current assets, etc., net 136 163 140 33 4 37 27
Share of profit/loss in joint ventures and associated
companies 108 110 97 161 260 42 -331
Profit before financial items (EBIT) 538 1,607 2,326 5,122 9,477 8,988 7,273
Financial items, net 153 -16 190 171 -303 -203 -294
Profit before tax 691 1,591 2,516 5,293 9,174 8,785 6,979
Tax 137 104 193 312 263 164 171
Profit for the period 554 1,487 2,323 4,981 8,911 8,621 6,808
A.P. Møller - Mærsk A/S’ share 521 1,453 2,284 4,950 8,879 8,593 6,776
Underlying profit
1
489 1,346 2,561 4,863 8,818 8,553 7,469
Balance sheet
Total assets 83,459 83,500 85,490 93,680 89,058 80,426 73,031
Total equity 55,973 56,427 55,833 65,032 60,231 52,586 44,940
Invested capital 49,080 49,343 50,322 52,410 53,386 49,195 45,167
Net interest-bearing debt -6,844 -7,090 -7,002 -12,632 -6,855 -3,356 -689
Cash flow statement
Cash flow from operating activities 1,385 2,758 5,334 8,200 9,444 8,611 8,221
Capital lease instalments – repayments of lease liabilities 816 822 825 861 811 762 646
Gross capital expenditure, excl. acquisitions and
divestments (CAPEX) 819 738 838 895 906 1,008 1,354
Cash flow from financing activities -1,200 -3,334 -10,726 -1,601 -1,968 -3,046 -7,520
Free cash flow -124 1,581 4,224 6,462 7,787 6,844 6,014
Financial ratios
Revenue growth -46.7% -40.0% -26.4% -3.7% 37.1% 52.1% 55.1%
EBITDA margin 15.5% 22.4% 27.9% 36.7% 47.7% 47.7% 47.1%
EBIT margin 4.4% 12.4% 16.4% 28.7% 41.6% 41.5% 37.7%
Cash conversion 74% 95% 134% 125% 87% 83% 90%
Return on invested capital after tax (ROIC)
(last twelve months) 17.7% 34.3% 49.1% 60.4% 66.6% 62.5% 53.6%
Equity ratio 67.1% 67.6% 65.3% 69.4% 67.6% 65.4% 61.5%
Underlying ROIC
1
(last twelve months) 17.5% 34.1% 49.0% 61.2% 68.1% 64.2% 55.4%
Underlying EBITDA
1
1,907 2,916 4,037 6,517 10,851 10,289 9,186
Underlying EBITDA margin
1
15.7% 22.5% 28.4% 36.6% 47.7% 47.5% 47.6%
Underlying EBIT
1
450 1,469 2,563 5,002 9,381 8,924 7,937
Underlying EBIT margin
1
3.7% 11.3% 18.0% 28.1% 41.2% 41.2% 41.1%
Stock market ratios
Earnings per share, USD 31 85 131 278 488 466 364
Diluted earnings per share, USD 31 85 131 277 487 464 363
Cash flow from operating activities per share, USD 87 163 306 461 519 467 442
Share price (B share), end of period, DKK 12,735 11,975 12,445 15,620 13,865 16,555 20,370
Share price (B share), end of period, USD 1,809 1,745 1,816 2,242 1,817 2,313 3,040
Total market capitalisation, end of period, USD 29,490 29,273 30,957 39,135 32,099 42,108 55,662
1 Underlying is computed as the relevant performance measure adjusted for the net gains/losses from the sale of non-current assets, etc. and net impairment
losses as well as transaction, restructuring and integration costs related to major transactions. The adjustments include A.P. Moller - Maersk’s share of mentioned
items in joint ventures and associated companies and, when applicable, the adjustments are net of tax.
Quarterly summary
Management review I Quarterly summary
AMOUNTS IN USD MILLION
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A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023
Technical terms, abbreviations and definitions of key figures and financial ratios.
Definition of terms
A
A.P. Moller - Maersk
A.P. Moller - Maersk is referred to
as the consolidated group of com-
panies and A.P. Møller - Mærsk A/S
as the parent company.
B
Backhaul
The direction of the trade route
with the lowest volumes, whereas
the opposite direction is referred
to as headhaul.
C
CAPEX
Cash payments for intangible assets
and property, plant and equipment,
excluding acquisi tions and divest-
ments.
Cash conversion
Cash flow from operating activities
to EBITDA ratio.
Cash flow from operating
activities per share
A.P. Moller - Maersk’s operating
cash flow from con tinuing oper-
ations divided by the number
of shares (of DKK 1,000 each),
excluding A.P. Moller - Maersk’s
holding of treasury shares.
Cost base
EBIT costs including VSA income
and hub income and adjustments
for restructuring costs, the result
from associated companies and
gains/losses.
E
EBIT
Earnings Before Interest and Taxes.
EBITA
Earnings Before Interest, Tax and
Amortisation.
EBITDA
Earnings Before Interest, Taxes,
Depreciation and Amortisation.
Equity ratio
Calculated as equity divided by
total assets.
F
FFE
Forty Foot container Equivalent unit.
Free cash flow (FCF)
Comprised of cash flow from
operating activities, purchase/sale
of intangible assets and property,
plant and equipment, dividends
received, repayments of lease
liabilities, financial payments and
financial expenses paid on lease
liabilities.
G
Gross profit
The sum of revenue, less variable
costs and loss on debtors.
H
Headhaul
The direction of the trade route
with the highest volumes, whereas
the return direction is referred to
as backhaul.
I
Invested capital
Segment operating assets less
segment operating liabilities,
including investments and deferred
taxes related to the operation.
K
kcbm
The freight volume of the shipment
for domestic and inter national
freight. Cubic metre (CBM) measure-
ment is calculated by multi plying
the width, height and length of the
shipment.
L
Loaded volumes
Loaded volumes refer to the
number of FFEs loaded on a ship-
ment which are loaded on first
load at vessel departure time,
excluding displaced FFEs.
Logistics & Services,
Top 200 organic growth
Logistics & Services’ organic revenue
increase from the top 200 Ocean
customers excluding freight for-
warders. The top 200 Ocean cus-
tomers are selected annually
based on Ocean volumes.
N
Net interest-bearing debt
(NIBD)
Equals interest-bearing debt,
including leasing liabilities, fair
value of deriva tives hedging the
underlying debt, less cash and
bank balances as well as other
interest- bearing assets.
O
Ocean, average operated fleet
capacity (TEU in ’000)
Average Ocean fleet capacity for
the period excluding idle vessels.
Ocean, loaded freight rate
(USD per FFE)
Average freight rate per FFE for
all the A.P. Moller - Maersk con-
tainers loaded in the period in
either Maersk Line or Hamburg
Süd vessels or third parties
(excluding intermodal). Hamburg
Süd is not excluding intermodal.
Ocean, unit cost, fixed bunker
(USD per FFE incl. VSA income)
Cost per FFE assuming a bunker
price at USD 550/tonne excluding
intermodal but including hubs and
time charter income. Hamburg Süd
is not excluding intermodal.
R
Return on invested capital
after tax (ROIC)
Profit/loss before financial items
for the year (EBIT) less tax on EBIT
divided by the average invested
capital, last twelve months.
Revenue per move
Includes terminal revenue, other
income, government grants and
excludes IFRIC12 construction
revenue.
S
Spot conversion rate
Spot conversion is spot volumes
divided by convertible shipment
volumes.
T
TEU
Twenty-foot container Equivalent
Unit.
Time charter
Hire of a vessel for a specified period.
Total market capitalisation
Total number of shares – excluding
A.P. Møller - Mærsk A/S’ holding of
treasury shares – multiplied by the
end-of-quarter price quoted by
Nasdaq Copenhagen.
U
Underlying EBITDA
Underlying EBITDA is earnings
before interest, taxes, depreciation
and amortisation adjusted for
restructuring and integration costs.
Underlying EBIT
Underlying EBIT is operating profit
before interest and taxes adjusted
for restructuring and integration
costs, net gains/losses from sale
of non-current – assets and net
impairment losses.
Underlying profit/loss
Underlying profit/loss is profit/
loss for the year from continuing
operations adjusted for net gains/
losses from sale of non-current
assets, etc., and net impairment
losses as well as transaction,
restructuring and integration costs
related to major transactions. The
adjustments are net of tax and
include A.P. Moller - Maersk’s share
of mentioned items in joint ven-
tures and associated companies.
Unit cost, fixed bunker
Unit cost, fixed bunker is calculated
using a fixed bunker price of USD
550 USD/tonne for all periods
presented.
V
VSA
Vessel Sharing Agreement is usually
reached between various partners
within a shipping con sortium who
agree to operate a liner service along
a specified route using a specified
number of vessels.
Management review I Definition of terms
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A.P. MOLLER - MAERSK INTERIM REPORT Q3 | 3 NOVEMBER 2023