Maersk sees return to profit in Q1 after difficult 2018

Stuart McAuley, engineering manager for Maersk's Culzean project, right, speaking to visitors to Sembcorp Marine's Tuas yard, where the Culzean floating storage and offloading (FSO) unit is being built. All photographs courtesy of Alfred NG Photography and Maersk Oil.
Stuart McAuley, engineering manager for Maersk's Culzean project, right, speaking to visitors to Sembcorp Marine's Tuas yard, where the Culzean floating storage and offloading (FSO) unit is being built. All photographs courtesy of Alfred NG Photography and Maersk Oil.

AP Moller-Maersk has announced it has slipped back into the black after a difficult 2018.

The Danish conglomerate celebrated a very slight pre-tax profit of £1.5 million for Q1 2019, a significant improvement on £108m for the same period last year.

Moller-Maersk’s total loss for 2018 was £142m.

Revenue for the firm also increased significantly from £7,354m in Q1 last year, to £7,534m for this period in 2019.

Moller-Maersk got the demerger of its drilling business underway in February in a bid to shift away from the energy sector and instead focus on transport and logistics.

It follows Moller-Maersk’s sale of Maersk Oil to Total last year.

Soren Skou, CEO of AP Moller – Maersk, said: “We had a good start to 2019.

“In Q1, revenue grew by 2.5%, operating earnings improved by 33% and cash flow from operations doubled to USD 1.5bn.

“With a strong free cash flow of USD 3.5bn after the sale of the remaining shares in Total, we have significantly strengthened our balance sheet.

“Net interest-bearing debt has been reduced by USD 2.4bn since Q4 and by USD 7.1bn since Q1 2018.”

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