CMA CGM strengthened its financial structure in 2007, posting solid gains in revenues and a significant increase in profitability in a global trade environment experiencing a surge in international container traffic.
Strong growth in revenues and profits in 2007 confirm the relevance of CMA CGM’s strategy. This expansion is largely carried by growth in global trade and Group market share, and also by:
- Acquisitions to create a complete global network of services,
- CMA CGM’s rapid development of its intermodal business, particularly in rail transport,
- Effective cost control policies,
- Innovative services,
- Continued investments in port terminals.
By the end of 2007, CMA CGM revenues jumped by 40% (35% organic growth) compared to 2006 to US$ 11.8 billion (’ 8.61 billion). Net income group share amounted to US$ 966 million (’ 705 million), up 58% over 2006. As in previous years, profits in 2007 will be allocated to equity.
In 2007, CMA CGM launched 42 new services operated independently or jointly, including 11 services departing from Asia to the Mediterranean, the Persian Gulf, the United States, Latin America, Africa and Australia, and 21 services targeting the intra-Asian market. While the container shipping market grew by 11.4% in 2007*, Group volumes were up 29% compared to 2006. CMA CGM also added 98 vessels to its fleet in 2007, which now totals 384 Group-operated vessels, raising carrying capacity from 698,000 TEU to 913,000 teu, a 31% increase.
This year, the container fleet grew by 28%, for a total of 1,535,000 TEU, and added a number of new innovative equipments such as car-carrying containers.
CMA CGM also completed three acquisitions this year:
- 1. The acquisition of Cheng Lie Navigation, a specialist in the intra-Asian market, has enabled CMA CGM to expand its offering in the world’s largest maritime trade region,
- 2. The acquisition of Comanav boosts CMA CGM’s presence in Morocco, a country at the heart of cargo flow on the Asia-Europe-West Africa-Americas trade routes,
- 3. The purchase of US Lines corresponds to CMA CGM’s strategy of deploying its activities on niche markets. With this acquisition, the Group is strengthening its presence between the United States, Australia and New Zealand.
At the same time, CMA CGM strengthened its ‘door to door’ business, with volume growth of 41% (rail, inland waterway, road haulage). CMA CGM mainly focused on rail transport, through its CMA RAIL subsidiary, and has already invested in Europe, Algeria, China and India.
CMA CGM continued to develop its worldwide network and now has 650 offices in 150 countries.
Finally, CMA CGM continued to pursue its terminal investment plan in 2007 to ensure better support for its vessels calling in increasingly congested ports. CMA CGM acquired stakes in terminals in the United States (Houston), Morocco (Casablanca, Tangier), the Netherlands (Rotterdam), China (Xiamen), Vietnam (Ca’ Mep), Egypt (Damietta), and Korea (Busan).
CMA CGM currently has 16,000 staff members worldwide, including 4,200 in France.
Chairman of the CMA CGM Executive Board, Jacques R. Saad’, announced, ‘We are very satisfied with our 2007 results. CMA CGM will continue its development strategy. We are getting ready for the arrival of a new generation of large vessels in our fleet which will represent a new era for the maritime shipping industry and for CMA CGM.’