ZIM Q2 Earnings & Revenues Miss Estimates, Down Year Over Year

Core Insights - ZIM Integrated Shipping Services Ltd. reported disappointing second-quarter 2025 results, with earnings and revenues missing the Zacks Consensus Estimate significantly [1][9] - Quarterly earnings were 19 cents per share, down 93.8% year-over-year, while revenues were $1.63 billion, a decline of 15.3% from the previous year [1][2][9] Financial Performance - Adjusted EBITDA for Q2 2025 was $472 million, down 38% year-over-year, with adjusted EBITDA margins falling to 29% from 40% [3] - Adjusted EBIT was $149 million, compared to $488 million in the same quarter last year, with margins decreasing to 9% from 25% [4] - Carried volume decreased by 6% year-over-year to 895 thousand TEUs, and average freight rates per TEU fell by 12% to $1,479 [2] Guidance and Outlook - Despite the disappointing quarterly results, ZIM raised the midpoints of its 2025 guidance for adjusted EBITDA to between $1.8 billion and $2.2 billion, and adjusted EBIT to between $550 million and $950 million [5][9] Liquidity Position - ZIM ended Q2 with cash and cash equivalents of $1.18 billion, down from $1.54 billion at the end of the previous quarter [6] - The company generated $441 million from operating activities, with capital expenditures totaling $24 million, resulting in free cash flow of $426 million [6] Dividend Declaration - ZIM's board declared a regular cash dividend of approximately $7 million, or 6 cents per ordinary share, reflecting nearly 30% of Q2 2025 net income, payable on September 9, 2025 [7]