CMA CGM, the French container shipping and logistics powerhouse, posted a 20% year-on-year decline in shipping EBITDA for Q2 2025, as global trade disruptions and operational challenges in the Red Sea weighed on performance. Despite these headwinds, container volumes held steady, underscoring the company’s resilience.
Revenue Holds Steady, Margins Narrow
The Group reported Q2 revenue of $13.2 billion, unchanged from the same period last year. However, EBITDA fell 7.9% year-on-year to $2.3 billion, with the margin narrowing by 1.5 percentage points to 17.3%. Geopolitical instability and disruptions in key maritime routes, particularly in the Red Sea and Gulf of Aden, continued to impact operations.
Shipping Volumes Stable Despite Trade Shifts
CMA CGM maintained stable shipping volumes at 6.0 million TEUs, even as trade flows between China and the U.S. experienced a sharp but temporary dip. Shipping revenue dipped 1.5% to $8.2 billion, while EBITDA for the segment dropped 19.9% to $1.6 billion. The EBITDA margin contracted by 4.5 percentage points to 19.4%, as average revenue per TEU edged down 1.2% to $1,367.
The company credited its ability to redeploy vessels and capture demand across alternative trade lanes for the near-stability in volumes. “In a context marked by persistent geopolitical tensions and renewed trade uncertainties, our Group is delivering a stable performance, driven by the resilience of its maritime activities,” said Rodolphe Saadé, CEO of CMA CGM.
Diversification Strategy Pays Off
CMA CGM’s diversification efforts continued to bolster results. Logistics revenue reached $4.6 billion, with EBITDA rising 2% to $459 million, supported by contract logistics. However, weakness in the European automotive sector weighed on road freight and finished vehicle performance.
Other business segments, including air cargo, media, and terminal operations, delivered standout growth. Revenue surged 62.7% year-on-year to $1 billion, driven by the integration of Brazilian terminal operator Santos Brazil. EBITDA for the segment climbed to $239 million, up from $51 million a year earlier. Saadé highlighted the success of the Group’s diversification strategy, stating, “These results underscore the relevance of our investments across terminals, logistics, and air freight, enabling us to adapt swiftly to shifts in global trade.”
Strategic Investments and Decarbonization Drive
CMA CGM continued to expand its portfolio with acquisitions and joint ventures in Brazil, Egypt, India, Vietnam, and France. Notable moves included acquiring a 51% stake in Santos Brazil, South America’s largest container terminal, and a 35% stake in Egypt’s October Dry Port terminal.
The Group also made strides in its decarbonization efforts, adding dual-fuel vessels to its fleet. CMA CGM now operates LNG-powered ships with capacities of 8,000 and 23,000 TEUs, alongside methanol-fueled vessels of 13,000 TEUs. By 2029, the company aims to operate at least 162 dual-fuel ships, including 24 methanol-powered units. A new LNG bunkering joint venture with TotalEnergies will bring a 20,000 m³ bunker vessel to Rotterdam by 2028.
Air Freight and Media Expansion
In air freight, CMA CGM expanded its footprint by acquiring Air Belgium’s cargo operations. The Group also entered exclusive talks to acquire digital media outlet BRUT and launched an AI-powered article-listening feature via La Provence.
Cautious Outlook Amid Volatility
Looking ahead, CMA CGM remains cautious, citing macroeconomic uncertainty, regional conflicts, and evolving trade policies as key risks. The company emphasized its focus on operational flexibility and cost control to navigate volatile market conditions.
Despite the challenges, CMA CGM’s geographic breadth, network flexibility, and diversified portfolio position it to weather ongoing disruptions and capitalize on emerging opportunities.