CMA CGM Sees Transpacific Revival Boosting Profit

CMA CGM, the world’s third-largest container line, has reported a 19% jump in revenue and a 6% rise in container volumes for the second quarter, driven by a rebound in Chinese exports to the US. The company’s EBITDA increased by 31% as transpacific demand offset added shipping capacity and higher Middle East-related costs. According to Chief Financial Officer Ramon Fernandez, the surge in Chinese shipments is boosting earnings as US companies rebuild inventories. The transpacific cargo revival is expected to continue, with restocking potentially lasting for months. CMA CGM operates a fleet of over 700 vessels and has expanded into logistics, air cargo, and media businesses. The company recently announced plans to buy FedEx Corp’s supply chain unit for $1.4 billion, increasing its North American presence in contract logistics. The Saade family, which controls CMA CGM, is worth around $45 billion, according to the Bloomberg Billionaires Index. CMA CGM ranks sixth on the Transport Topics list of the largest global freight companies, with MSC and Maersk ranking ninth and seventh, respectively.