For Q3 2014, the Maersk Group delivered a profit of USD $1.5 billion (USD $1.2 billion) and, to the delight of investors; posted a return on invested capital (ROIC) of 12.7 percent (9.5 percent). In particular increased underlying profits were achieved for Maersk Line, Maersk Oil and APM Terminals.
The Group’s revenue increased by 0.7 percent, impacted by increased container volumes and freight rates, as well as a lower average oil price.
Maersk Line recorded a profit of USD $685 million (USD $554 million) and a ROIC of 13.5 percent (10.9 percent). According to analysts, the improvement was achieved through lower operating costs and were supported by an increase in the average freight rate. In keeping with the market, Maersk Line increased volumes by 3.7 percent, when compared to Q3 2013.
Maersk Line's cash flow from operating activities was USD $1.0 billion (USD $1.3 billion) and cash flow used for capital expenditure was USD $483 million (USD $491 million), leaving a free cash flow of USD $546 million (USD $768 million).
Looking ahead, and based on a good Q3 performance, Maersk Line expects an end-of-year result for 2014 that is above USD $2 billion. Moreover, the company expects that the global demand will grow by 3 to 5 percent.