A.P. Moller – Maersk reported a loss in its Ocean division for the fourth quarter, marking its first quarterly loss in several years. The company is facing challenges as it transitions from using the Cape of Good Hope route back to transiting the Suez Canal.
In the fourth quarter of 2025, Maersk's Ocean division experienced a negative EBIT of $153 million, a significant drop from $567 million in the previous quarter and $1.6 billion a year earlier. This loss occurred even with an 8% increase in volume, as freight rates were pressured by ongoing overcapacity in the global container fleet.
This setback emphasizes the delicate situation shipping carriers face as the Red Sea shipping corridor gradually reopens following more than two years of disruption due to Houthi attacks. Starting in mid-February, Maersk, alongside partner Hapag-Lloyd, will resume Red Sea and Suez Canal transits with their ME11 service, referring to this move as a “cautious step” toward restoring traffic through a vital global route.
However, Maersk's full-year results were still strong, with revenue hitting $54.0 billion, EBITDA at $9.5 billion, and EBIT at $3.5 billion, at the higher end of forecasts. Ocean volumes grew by 4.9%, which was consistent with the overall market, despite ongoing fluctuations.
CEO Vincent Clerc stated, “We delivered a strong performance and high value for our customers in a year marked by changing geopolitical dynamics affecting supply chains and global trade.” He noted that Maersk’s East-West network maintained over 90% reliability and achieved cost savings that exceeded expectations.
Looking forward, Maersk anticipates global container demand to grow by only 2-4% in 2026 and provided broad EBIT guidance that ranges from a $1.5 billion loss to a $1.0 billion profit, indicating uncertainty regarding capacity growth and the pace of any sustained reopening of the Red Sea.
To safeguard its margins, the company plans to reduce corporate overhead by $180 million annually, cutting about 1,000 jobs, which is roughly 15% of its corporate workforce. Additionally, the board approved a $1.0 billion share buyback that will occur over the next year.
Elsewhere, Maersk’s Terminals business had its best year ever, with revenue up by 20% due to higher volumes, better pricing, and increased storage income. The EBIT for Q4 was $321 million, a decrease from the previous quarter because of one-time impairments, but still showed strong underlying demand.
The return to Red Sea routing offers operational benefits. Westbound ME11 trips from Mundra to Europe will be 19 days shorter, while eastbound routes will save seven days. However, both Maersk and Hapag-Lloyd caution that any further return to the Red Sea will rely on stable security conditions.
Before the attacks began in late 2023, the canal managed around 12% of global seaborne trade, with about 80 container ships each week. By mid-January 2026, weekly transits had only reached 26 ships, significantly lower than historical levels.
The Red Sea route via Bab el-Mandeb is the fastest and most efficient connection between Asia and Europe. After nearly 800 days of detours around the Cape, its careful reopening will test whether this route is indeed as reliable as before or if it remains a calculated risk rather than a full return to normal.