Hapag-Lloyd Q1 profit falls to negative US$256M, cites freight rate pressure, Hormuz disruption

GLOBAL – Hapag-Lloyd has reported a Group loss of US$256 million in Q1 2026, with Group EBITDA reaching US$494 million and Group EBIT declining to minus US$157 million.

Lower freight rates and operational disruptions affected performance compared with the same period last year, while the Strait of Hormuz blockade further pressured cargo flows.

Liner Shipping Segment Under Pressure

In the Liner Shipping segment, revenues declined to US$4.8 billion, mainly due to a lower average freight rate of US$1,330 per TEU, compared with US$1,471 per TEU in Q1 2025.

On the other hand, transport volumes reached 3.2 million TEU, remaining close to last year’s level despite weather-related disruption in Europe and North America.

Hapag-Lloyd said bad weather affected terminal operations and supply chains, while the blockage of the Strait of Hormuz also disrupted cargo flows. EBITDA in the Liner Shipping segment declined to US$447 million, while EBIT fell to minus US$174 million.

Terminal & Infrastructure Shows Growth

In the Terminal & Infrastructure segment, revenues increased to US$168 million, supported by the full consolidation of J M Baxi’s container business and volume growth in Latin America and India.

Segment EBITDA rose to US$47 million, while EBIT reached US$18 million. This contrasting performance highlights how diversified logistics assets can offset volatility in core shipping operations.

Direct Statement from Leadership

“The first quarter of 2026 was unsatisfactory for us, with weather-related supply chain disruptions and pressure on freight rates leading to significantly lower results,” said Rolf Habben Jansen, CEO of Hapag-Lloyd AG.

“At the same time, our Gemini network has proven its resilience even under difficult conditions, helping us maintain a reliable service offering for our customers. We will stay firmly focused on our Strategy 2030 and the next milestones for the successful completion of our merger agreement with ZIM while we maintain our rigorous cost management as we navigate the volatile market environment.”

Industry Perspective

For the full 2026 financial year, the company maintained its outlook, expecting Group EBITDA between US$1.1 billion and US$3.1 billion.

Hapag-Lloyd said the outlook remains subject to uncertainty linked to freight rate volatility and the conflict in the Middle East.

The Q1 results demonstrate the vulnerability of liner shipping to external shocks, while the Terminal & Infrastructure segment’s growth suggests that port and logistics assets offer more stable returns.

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