DANISH shipping giant maersk has posted 45 per cent fall in net profit in the second quarter, as supply chain disruptions due to the Red Sea crisis led to higher operating costs, reports Kuala Lumpur's Malay Mail.
Months of attacks by Yemen's Iran-backed Houthis have prompted some shipping companies to detour around southern Africa to avoid the Red Sea route - which normally carries about 12 per cent of global trade.
Houthis have been launching drones and missiles at shipping in the Red Sea since last November, saying they are acting in solidarity with Palestinians during the Gaza war.
In the April to June period, Maersk posted a net profit of US$798 million, while sales dipped to $12.77 billion, both slightly lower than analysts' forecasts.
Operating profit also declined 26 per cent to US$2.14 billion.
Maersk, the world's second biggest shipping group, no longer transits the Red Sea.
'The situation in the Red Sea remains entrenched, which leads to continued pressure on global supply chains. These conditions are now expected to continue for the remainder of the year,' said Maersk CEO Vincent Clerc.
SeaNews Turkey
Months of attacks by Yemen's Iran-backed Houthis have prompted some shipping companies to detour around southern Africa to avoid the Red Sea route - which normally carries about 12 per cent of global trade.
Houthis have been launching drones and missiles at shipping in the Red Sea since last November, saying they are acting in solidarity with Palestinians during the Gaza war.
In the April to June period, Maersk posted a net profit of US$798 million, while sales dipped to $12.77 billion, both slightly lower than analysts' forecasts.
Operating profit also declined 26 per cent to US$2.14 billion.
Maersk, the world's second biggest shipping group, no longer transits the Red Sea.
'The situation in the Red Sea remains entrenched, which leads to continued pressure on global supply chains. These conditions are now expected to continue for the remainder of the year,' said Maersk CEO Vincent Clerc.
SeaNews Turkey
