Trade volatility hits Hapag-Lloyd profits

Gemini alliance with Maersk drove Asia volume up by 19%

(Photo: Hapag-Lloyd)

Hapag-Lloyd said nine-month profits fell as global trade disputes led to uneven demand and depressed freight rates.

While overall revenue for the German ocean carrier improved to $16.05 billion from $15.28 billion in the same period a year ago, group profit fell to $946 million from $1.83 billion. 

“In the third quarter of 2025, the earnings improved compared with the second quarter but remained significantly below prior-year due to low freight rates and upward cost pressure,” the company (HLAG.DE) said in a release.

Lower group pre-tax (EBITDA) and operating (EBIT) earnings pushed margins down to 17% and 6%, respectively, from 24% and 13% a year ago.  

Liner shipping revenue increased to $15.7 billion from $14.9 billion y/y on a 9% improvement in transport volumes to 10.2 million twenty foot equivalent units (TEUs) from 9.3 million TEUs, mainly on growth in east-west trades. 

Hapag-Lloyd and Maersk (MAERSK-B.CO) inaugurated the Gemini alliance of joint services in 2025. The partnership helped grow the former’s Asia volume by 19.2%. 

But the world’s fifth-largest container carrier said liner EBITDA and EBIT margins dropped to 15.5% and 4%. Maersk by comparison reported margins of 19.5% and 6.2% in the recent quarter. Network transition and start-up costs for Gemini, and congestion related costs in various parts of the world hit margins, the carrier said.

The average freight rate was $1,397 per TEU, down 4.8% from $1,467 the year prior on volume that was 6.1% higher. By comparison, global volume improved by 3.7% in the third quarter. 

Hapag-Lloyd narrowed its full-year EBITDA forecast range to $3.1 billion-$3.6 billion, and EBIT to $600 million-$1.1 billion.

Find more articles by Stuart Chirls here.

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Stuart Chirls

Stuart Chirls is a journalist who has covered the full breadth of railroads, intermodal, container shipping, ports, supply chain and logistics for Railway Age, the Journal of Commerce and IANA. He has also staffed at S&P, McGraw-Hill, United Business Media, Advance Media, Tribune Co., The New York Times Co., and worked in supply chain with BASF, the world's largest chemical producer. Reach him at stuartchirls@firecrown.com.