Hapag-Lloyd's Q2 2026 profits rise despite net profit decline and ZIM acquisition hurdles, driven by strong demand and higher freight rates.
Hapag-Lloyd reported a mixed second quarter for 2026, with operating performance improving due to stronger spot volumes and higher freight rates, even as net profit declined and uncertainty deepened over its proposed acquisition of ZIM Integrated Shipping Services.
The German carrier posted group EBITDA of $829 million for the quarter, up slightly from $820 million a year earlier. Group profit, however, fell sharply to $83 million from $306 million in the second quarter of 2025. The company said the rebound from a difficult start to the year was supported by stronger Asian exports and firmer U.S. demand, helping to offset around $600 million in additional costs tied to the conflict in the Middle East.
In its core liner shipping business, revenue rose to $5.7 billion as volumes increased to 3.5 million TEUs, compared with 3.4 million TEUs in the same quarter last year. Average freight rates climbed 9% to $1,475 per TEU from $1,354. Despite that improvement, segment EBITDA slipped to $773 million and EBIT dropped to $153 million, weighed down by rerouting costs linked to the Strait of Hormuz disruption, along with higher fuel, insurance, storage, and inland transport expenses.
'The second quarter was better than the first, thanks to significantly higher spot rates and robust demand,' chief executive Rolf Habben Jansen said. He added that the Gemini network continued to outperform the broader market and pointed to the growing strategic role of the company's terminal business.
That segment also delivered growth. Terminal & Infrastructure generated revenue of $191 million, EBITDA of $55 million, and EBIT of $21 million, supported by the first full-year consolidation of JM Baxi's container business and higher volumes in Latin America.
Following the stronger quarter, Hapag-Lloyd raised its full-year 2026 outlook in July. The company now expects group EBITDA in a range of $2.7 billion to $3.7 billion, up from its earlier forecast of $1.1 billion to $3.1 billion. EBIT is projected at between $100 million and $1.1 billion. Still, management warned that freight rate volatility and the evolving Middle East conflict continue to cloud the outlook.
At the same time, the company's planned $4.2 billion acquisition of ZIM is becoming increasingly uncertain. The deal, announced in February with backing from Israeli fund FIMI, values ZIM at $35 per share and would create a shipping group with more than 3 million TEUs of capacity and over 400 vessels. While Hapag-Lloyd has said it remains confident the transaction can close by the end of 2026, the merger still requires regulatory approvals, including from Israeli authorities.
