Israeli container carrier ZIM ended 2014 with a USD 127 million net loss, a result described as a ”sharp improvement” when compared to USD 216 million net loss the company recorded in 2013.
Despite lower volumes and revenue, ZIM improved its operating profit, partly due to reduced fuel costs in the latter part of 2014, the termination of non-profitable lines, and freight rate increases in some other lines.
The completion of the company’s USD 3.4 billion debt restructuring on July 16, 2014 also helped ZIM in reporting more positive results.
Other factors that led to improved results in 2014 were organizational changes and expanding the scope of cooperation with other shipping companies which was unattainable before finalizing the restructuring.
Rafi Danieli, ZIM President and CEO, said: ”The company recorded a sharp improvement in Q4, and continues to record a steady and ongoing improvement of its operating results. Through the implementation of our business plan, enhancing efficiency and improving our service and sales, we aim to continue in order to return to profitability and growth in 2015.”