South Korean carrier HMM reports record revenues, profits in 2021

South Korean ocean carrier HMM's 2021 revenues surged more than twofold from 2020, as global supply chain congestion and high freight rates support ocean liner profitability, the company said Feb. 14.

Revenue and profits reached a record high in 2021, primarily driven by high freight rates and efficient fleet operations, including twelve 24,000 TEU containerships, HMM said in a statement.

The company's 2021 revenue rose to won 13.794 billion ($11.5 billion) in 2021 from won 6.413 billion ($5.4 billion), it said.

HMM's operating profit was "substantial, which has increased more than seven-fold" to won 7.378 billion in 2021 from won 981 million in 2020, it said. The company's operating margin grew to 53.5% in 2021 from 15.3% in 2020, it said.

Further details were not released.

Most ocean liners are expected to report significantly improved financial results for 2021, as global logistical constraints propped freight rates to record highs.

Ocean freight rates are expected to remain high in 2022," the company said in a recent report. "Demand for goods, a major factor in US supply chain congestion, also shows no sign of diminishing."

Platts Container Rate 13 – North Asia-to-West Coast North America – was assessed Feb. 14 at $9,500/FEU on an FAK basis, up 126% on the year from $4,200/FEU.

HMM is the world's eighth-largest container carrier, with a TEU count of 817,300 TEU and a fleet of over 130 containerships, according to maritime data provider Alphaliner.