Generated Highest Ever Quarterly Net Income of
$1.46 Billion and Adjusted
EBITDA[1] of $2.08
Billion
Transitioned to Quarterly Dividend Payout, Declared Q3
2021 Dividend of $2.50 per Share,
Representing Approx. 20% of Quarterly Net Income; 30-50% of Total
2021 Net Income Expected to be Distributed in 2022
Significantly Increased 2021 Guidance to Between
$6.2 Billion and $6.4 Billion of Adjusted EBITDA and Between
$5.4 Billion to $5.6 Billion of Adjusted
EBIT[2]
Q3 2021 Carried Volume Increased 16% Year Over Year,
Significantly Higher than Market Growth
HAIFA, Israel, Nov. 17, 2021 /PRNewswire/ -- ZIM Integrated
Shipping Services Ltd. (NYSE: ZIM), a global container liner
shipping company, announced today its consolidated results for the
three and nine months ended September 30,
2021.
Third Quarter 2021 Highlights
- Net income for the third quarter of 2021 was $1.46 billion or $12.16 per diluted share[3], compared
to $144 million or $1.36 per diluted share in the third quarter of
2020, a year-over-year increase of 913% and 794%, respectively
- Adjusted EBITDA for the third quarter of 2021 was $2.08 billion, compared to $262 million in the third quarter of 2020, a
year-over-year increase of 693%
- Operating income (EBIT) for the third quarter of 2021 was
$1.86 billion, compared to
$189 million in the third quarter of
2020, a year-over-year increase of 884%. Reconciliation items
between operating income (EBIT) and Adjusted EBIT in the third
quarter of 2021 were negligible
- Revenues for the third quarter of 2021 were $3.14 billion, compared to $1.01 billion in the third quarter of 2020, a
year-over-year increase of 210%
- ZIM carried 884 thousand TEUs in the third quarter of 2021, a
year-over-year increase of 16%
- The average freight rate per TEU in the third quarter of 2021
was $3,226, a year-over-year increase
of 174%
- Net leverage ratio[1] of 0.0x at September 30, 2021, compared to 1.2x at
December 31, 2020
- Declared a transition to interim quarterly dividend payout of
approximately 20% of quarterly net income, with the fourth quarter
dividend payout to total 30-50% of the annual net income, including
the interim quarterly dividends; declared approximately
$296 million, or $2.50 per share Q3 dividend (representing
approximately 20% of Q3 2021 net income) to be paid on December 27, 2021
- Announced the strategic long-term chartering agreement and
option exercise with Seaspan for a total of 15 x 7,000 TEU
LNG-fueled vessels, further demonstrating ZIM's commitment to
reducing its carbon footprint
- During the third quarter of 2021 and subsequent to quarter end,
ZIM purchased eight (8) second-hand vessels for total consideration
of approximately $355 million
Eli Glickman, ZIM President
& CEO, stated, "We are very proud of ZIM's significant
accomplishments since our IPO earlier this year. The company's
continued outstanding performance is a direct result of our team's
strong execution and success proactively capitalizing on both the
highly attractive market and our differentiated approach. The
exceptional results we generated in the third quarter, reflect our
highest ever quarterly revenues, adjusted EBITDA, net profit and
operating cash flow. Importantly, we have once again delivered
industry-leading margins, outperforming the sector's average."
Mr. Glickman added, "During a time when we have posted record
quarterly results, we are pleased to further allocate capital to
enhance our commercial prospects and unlock shareholder value.
Complementing our success securing our operating fleet and
equipment to best serve our customers, we have distributed a
$2.00 per share special dividend in
September 2021 and we are now
transitioning to paying quarterly dividends to provide shareholders
with an immediate and more frequent return. Accordingly, we will be
paying in December 2021 a
$2.50 per share interim dividend for
the third quarter, representing approximately 20% of quarterly net
income. Based on our expectation to distribute 30-50% of 2021 net
income, we are poised to return significant capital to shareholders
in 2022."
Mr. Glickman concluded, "Reflecting ZIM's strong outlook and
extremely positive container liner market fundamentals, we have
once again raised our full-year 2021 guidance. As an innovative
digital leader of seaborn transportation and logistics services, we
are well positioned for the future. Going forward, our unrelenting
focus remains on further executing our global-niche strategy to
achieve superior long-term profitability, while maintaining
significant fleet flexibility, promoting our ESG values as we
provide a best-in-class customer experience and taking
advantage of compelling growth opportunities."
Summary of Key Financial and Operational Results
|
Q3'21
|
Q3'20
|
9M'21
|
9M'20
|
Carried volume
(K-TEUs)
|
884
|
762
|
2,623
|
2,042
|
Average freight rate
($/TEU)
|
3,226
|
1,176
|
2,510
|
1,116
|
Revenue ($ in
millions)
|
3,136
|
1,013
|
7,262
|
2,631
|
Operating income
(EBIT) ($ in millions)
|
1,859
|
189
|
3,700
|
283
|
Profit before income
tax ($ in millions)
|
1,821
|
148
|
3,577
|
169
|
Net income ($ in
millions)
|
1,463
|
144
|
2,941
|
158
|
Adjusted EBITDA ($ in
millions)
|
2,080
|
262
|
4,236
|
504
|
Adjusted EBIT ($ in
millions)
|
1,859
|
189
|
3,706
|
289
|
Adjusted EBITDA
margin (%)
|
66
|
26
|
58
|
19
|
Adjusted EBIT margin
(%)
|
59
|
19
|
51
|
11
|
Net cash generated
from operating activities ($ in millions)
|
2,008
|
245
|
3,966
|
466
|
Earnings per share
(fully diluted) ($)
|
12.16
|
1.36
|
24.79
|
1.47
|
Free cash
flow[1] ($ in millions)
|
1,720
|
237
|
3,216
|
454
|
|
|
|
Sept 21
|
Dec 20
|
Net
debt[1] ($ in millions)
|
|
|
22
|
1,236
|
Financial and Operating Results for the Third Quarter Ended
September 30, 2021
Total
revenues were $3.14 billion for the
third quarter of 2021, compared to $1.01
billion for the third quarter of 2020, primarily driven by
an increase in revenues from containerized cargo, reflecting
increases in freight rates as well as in carried volume.
Operating income (EBIT) for the third quarter of 2021 was
$1.86 billion, compared to
$189 million for the third quarter of 2020. Operating margin
for the third quarter of 2021 was 59%, compared to 19% in the third
quarter of 2020.
Net income for the third quarter of 2021 was $1.46 billion, compared to $144 million for the third quarter of 2020. Net
income for the third quarter of 2021 included a tax expense of
$358 million.
Adjusted EBITDA was $2.08 billion
for the third quarter of 2021, compared to $262 million for the third quarter of 2020.
Adjusted EBIT was $1.86 billion
for the third quarter of 2021, compared to $189 million for the third quarter of 2020.
Adjusted EBITDA and Adjusted EBIT margins for the third quarter of
2021 were 66% and 59%, respectively. This compares to 26% and 19%
for the third quarter of 2020, respectively.
Net cash generated from operating activities was $2.01 billion for the third quarter of 2021,
compared to $245 million for the
third quarter of 2020.
ZIM carried 884 thousand TEUs during the third quarter of 2021,
compared to 762 thousand TEUs in the third quarter of 2020. The
average freight rate per TEU was $3,226
for the third quarter of 2021, compared to $
1,176 for the third quarter of 2020.
Financial and Operating Results for the Nine Months Ended
September 30, 2021
Total
revenues were $7.26 billion for the
first nine months of 2021, compared to $2.63
billion for the first nine months of 2020, primarily driven
by an increase in revenues from containerized cargo, reflecting
increases in freight rates as well as in carried volume.
Operating income (EBIT) for the first nine months of 2021 was
$3.70 billion, compared to
$283 million for the first nine months of 2020. Operating
margin for the first nine months of 2021 was 51%, compared to 11%
in the first nine months of 2020.
Net income for the first nine months of 2021 was $2.94 billion, compared to $158 million for the first nine months of 2020.
Net income for the nine months of 2021 included a tax expense of
$636 million.
Adjusted EBITDA was $4.24 billion
for the first nine months of 2021, compared to $504 million for the first nine months of 2020.
Adjusted EBIT was $3.71 billion for
the first nine months of 2021, compared to $289 million for the first nine months of 2020.
Adjusted EBITDA and Adjusted EBIT margins for the first nine months
of 2021 were 58% and 51%, respectively. This compares to 19% and
11% for the first nine months of 2020, respectively.
Net cash generated from operating activities was $3.97 billion for the first nine months of 2021,
compared to $466 million for the
first nine months of 2020.
ZIM carried 2,623 thousand TEUs during the first nine months of
2021, compared to 2,042 thousand TEUs in the first nine months of
2020. The average freight rate per TEU was $2,510 for the first nine months of 2021,
compared to $1,116 for the first nine
months of 2020.
Liquidity and Cash Flows
ZIM's total cash position
(which includes cash and cash equivalents and investments in bank
deposits and other investment instruments) increased by
$2.18 billion from $572 million as of December 31, 2020 to $2.76
billion at September 30, 2021.
Capital expenditures, net totaled $288
million for the third quarter of 2021, compared to
$8 million for the third quarter of
2020. Net debt decreased by $1.21 billion from $1.24 billion as of December 31, 2020 to $22
million as of September 30,
2021. ZIM's net leverage ratio as of September 30, 2021 was 0.0x, compared to 1.2x as
of December 31, 2020.
Dividend Policy
Commencing from the third quarter of
2021, the Company intends to distribute a dividend to its
shareholders on a quarterly rather than on an annual basis. The
quarterly dividend will be paid at a rate of approximately 20% of
the net income derived during such fiscal quarter. The dividend
payable on the fourth quarter of the fiscal year is expected to be
at such rate that the cumulative annual dividend amount to be
distributed by the Company (including the interim dividends) will
total 30-50% of the annual net income (including in respect to
2021). All future dividends are subject to the Company's Board
discretion and to the restrictions provided by Israeli law.
In accordance with the new dividend policy, the Company's Board
of Directors declared a cash dividend of approximately $296 million, or $2.50 per ordinary share, reflecting
approximately 20% of Q3 2021 net income, to be paid on December 27, 2021, to holders of the ordinary
shares as of December 16, 2021.
Long-Term Chartering Agreements
In July 2021, the Company announced a second
strategic agreement with Seaspan Corporation for the long-term
charter of ten 7,000 TEU liquefied natural gas (LNG) dual-fuel
container vessels. Subsequently, in September, the Company
announced the exercise of its option to long-term charter five
additional 7,000 TEU LNG dual-fuel container vessels from Seaspan,
so that the total number of vessels to be chartered under this
agreement is fifteen (15). These 15 vessels are intended to be
deployed across ZIM's various global trades. ZIM first strategic
agreement with Seaspan was announced in February 2021, under which the Company entered
into a long-term charter agreement for ten 15,000 TEU LNG dual-fuel
container vessels, intended to serve on its Asia to US East Coast trade.
Second-hand Vessel Purchases
During the third quarter
of 2021 and subsequent to quarter end, the Company purchased eight
(8) second-hand vessels (built between 2007-2010) in a number of
separate transactions. The vessels purchased include five 4,250 TEU
vessels, one 2,553 TEU vessel and two 1,100 TEU vessels for a total
consideration of approximately $355 million.
Updated Full-Year 2021 Guidance
The Company increased
its full-year guidance and expects to generate in 2021 Adjusted
EBITDA of between $6.2 billion and
$6.4 billion and Adjusted EBIT of
between $5.4 billion to $5.6 billion.
Use of Non-IFRS Measures in the Company's 2021
Guidance
The Company only provides guidance on a non-IFRS
basis. The Company does not provide a reconciliation of
forward-looking Adjusted EBITDA or Adjusted EBIT to IFRS measures,
due to the inherent difficulty in forecasting and quantifying
certain amounts that are necessary for such reconciliation, in
particular because such reconciling items used to calculate
projected net income (loss) may vary dramatically based on actual
events. The Company is not able to forecast on a IFRS basis with
reasonable certainty all reconciliation items needed in order to
provide a IFRS calculation of projected net income (loss) or EBIT
at this time. The amount of these reconciliation items can vary and
may be material and, therefore, could result in projected IFRS
measures being materially different than projected Adjusted EBITDA
or Adjusted EBIT.
Conference Call Details
Management will host a
conference call and webcast (along with a slide presentation) to
review the results and provide a corporate update today at
8:00 AM ET.
To access the live conference call by telephone, please dial the
following numbers: United States
+1-855-265-6958 or +1-718-705-8796; Israel +972-3-721-9662; or UK/international
+44-1-212-818-004. The call (and slide presentation) will be
available via live webcast through ZIM's website, located at the
following link. Following the conclusion of the call, a replay of
the conference call will be available on the Company's website.
About ZIM
ZIM Integrated Shipping Services Ltd. (NYSE:
ZIM) is a global container liner shipping company with leadership
positions in the markets where it operates. Founded in Israel in 1945, ZIM is one of the oldest
shipping liners, with over 75 years of experience, providing
customers with innovative seaborne transportation and logistics
services with a reputation for industry leading transit times,
schedule reliability and service excellence. For additional
information, please visit www.zim.com.
Forward-Looking Statements
This press release
contains, or may be deemed to contain forward-looking statements
(as defined in the U.S. Private Securities Litigation Reform Act of
1995 and the Israeli Securities Law, 1968). In some cases, you can
identify these statements by forward-looking words such as "may,"
"might," "will," "should," "expect," "plan," "anticipate,"
"believe," "estimate," "predict," "potential" or "continue," the
negative of these terms and other comparable terminology. These
forward-looking statements, which are subject to risks,
uncertainties and assumptions about the Company, may include
projections of the Company's future financial results, its
anticipated growth strategies and anticipated trends in its
business as well as its intended dividend policy. These statements
are only predictions based on the Company's current expectations
and projections about future events or results. There are important
factors that could cause the Company's actual results, level of
activity, performance or achievements to differ materially from the
results, level of activity, performance or achievements expressed
or implied by the forward-looking statements. Factors that could
cause such differences include, but are not limited to: market
changes in freight, bunker, charter and other rates or prices, new
legislation or regulation affecting the Company's operations, new
competition and changes in the competitive environment, the outcome
of legal proceedings to which the Company is a party, and other
risks and uncertainties detailed from time to time in the Company's
filings with the U.S. Securities and Exchange Commission, including
under the caption "Risk Factors" in its 2020 Annual
Report.
Although the Company believes that the expectations reflected in
the forward-looking statements contained herein are reasonable, it
cannot guarantee future results, level of activity, performance or
achievements. Moreover, neither the Company nor any other person
assumes responsibility for the accuracy and completeness of any of
these forward-looking statements. The Company assumes no duty to
update any of these forward-looking statements after the date
hereof to conform its prior statements to actual results or revised
expectations, except as otherwise required by law.
The Company prepares its financial statements in accordance with
International Financial Reporting Standards (IFRS), as issued by
the International Accounting Standards Board (IASB).
Use of Non-IFRS Financial Measures
The Company
presents non-IFRS measures as additional performance measures as
the Company believes that it enables the comparison of operating
performance between periods on a consistent basis. These measures
should not be considered in isolation, or as a substitute for
operating income, any other performance measures, or cash flow
data, which were prepared in accordance with Generally Accepted
Accounting Principles as measures of profitability or liquidity.
Please note that Adjusted EBITDA does not take into account debt
service requirements, or other commitments, including capital
expenditures, and therefore, does not necessarily indicate the
amounts that may be available for the Company's use. In addition,
non-IFRS financial measures, as those presented by the Company, may
not be comparable to similarly titled measures reported by other
companies, due to differences in the way these measures are
calculated.
Adjusted EBITDA is a non-IFRS financial measure
which we define as net income (loss) adjusted to exclude financial
expenses (income), net, income taxes, depreciation and amortization
in order to reach EBITDA, and further adjusted to exclude
impairment of assets, non-cash charter hire expenses, capital gains
(losses) beyond the ordinary course of business and expenses
related to legal contingencies.
Adjusted EBIT is a non-IFRS financial measure which
we define as net income (loss) adjusted to exclude financial
expenses (income), net and income taxes, in order to reach our
results from operating activities, or EBIT, and further adjusted to
exclude impairment of assets, non-cash charter hire expenses,
capital gains (losses) beyond the ordinary course of business and
expenses related to legal contingencies.
Free cash flow is a non-IFRS financial measure which we
define as net cash generated from operating activities minus
capital expenditures, net.
Net debt is a non-IFRS financial measure which we define
as face value of short- and long-term debt, minus cash and cash
equivalents, bank deposits and other investment instruments.
Net leverage ratio is a non-IFRS financial measure which
we define net debt (see above) divided by Adjusted EBITDA of the
last twelve-month period.
See the reconciliation of net income to Adjusted EBITDA and
Adjusted EBIT and net cash generated from operating activities to
free cash flow under "Reconciliation of Non-IFRS Measures"
below.
Investor Relations:
Elana Holzman
ZIM Integrated Shipping Services Ltd.
+972-4-865-2300
holzman.elana@zim.com
Leon Berman
The IGB Group
212-477-8438
lberman@igbir.com
Media:
Avner Shats
ZIM Integrated Shipping Services Ltd.
+972-4-865-2520
shats.avner@zim.com
CONSOLIDATED
BALANCE SHEET
|
(U.S. dollars in
thousands)
|
|
|
|
|
September
30
|
December
31
|
|
2021
|
2020
|
2020
|
|
|
|
|
Assets
|
|
|
|
Vessels
|
2,280,881
|
732,654
|
948,004
|
Containers and
handling equipment
|
1,258,270
|
486,497
|
520,887
|
Other tangible
assets
|
66,428
|
70,858
|
67,133
|
Intangible
assets
|
68,416
|
63,963
|
66,465
|
Investments in
associates
|
13,349
|
8,843
|
8,441
|
Other
investments
|
5,567
|
4,866
|
4,888
|
Trade and other
receivables
|
6,463
|
4,883
|
5,293
|
Deferred tax
assets
|
1,491
|
1,151
|
1,502
|
Total non-current
assets
|
3,700,865
|
1,373,715
|
1,622,613
|
|
|
|
|
Assets classified as
held for sale
|
|
8,663
|
|
Inventories
|
107,293
|
47,352
|
52,237
|
Trade and other
receivables
|
1,234,209
|
358,200
|
520,001
|
Other
investments
|
345,074
|
58,947
|
58,976
|
Cash and cash
equivalents
|
2,454,997
|
350,285
|
570,414
|
Total current
assets
|
4,141,573
|
823,447
|
1,201,628
|
Total
assets
|
7,842,438
|
2,197,162
|
2,824,241
|
|
|
|
|
Equity
|
|
|
|
Share capital and
reserves
|
1,994,230
|
1,787,285
|
1,790,794
|
Retained earnings
(deficit)
|
1,174,499
|
(1,887,918)
|
(1,523,528)
|
Equity
attributable to owners of the Company
|
3,168,729
|
(100,633)
|
267,266
|
Non-controlling
interests
|
6,606
|
5,539
|
7,189
|
Total
equity
|
3,175,335
|
(95,094)
|
274,455
|
|
|
|
|
Liabilities
|
|
|
|
Lease
liabilities
|
1,766,247
|
700,678
|
811,840
|
Loans and other
liabilities
|
126,346
|
554,184
|
519,471
|
Employee
benefits
|
63,612
|
61,150
|
66,626
|
Deferred tax
liabilities
|
85,947
|
325
|
339
|
Total non-current
liabilities
|
2,042,152
|
1,316,337
|
1,398,276
|
|
|
|
|
Trade and other
payables
|
1,052,310
|
396,657
|
398,876
|
Provisions
|
29,044
|
17,284
|
21,420
|
Contract
liabilities
|
636,001
|
169,610
|
230,469
|
Lease
liabilities
|
777,304
|
258,062
|
362,176
|
Loans and other
liabilities
|
130,292
|
134,306
|
138,569
|
Total current
liabilities
|
2,624,951
|
975,919
|
1,151,510
|
Total
liabilities
|
4,667,103
|
2,292,256
|
2,549,786
|
Total equity and
liabilities
|
7,842,438
|
2,197,162
|
2,824,241
|
|
|
|
|
CONSOLIDATED
INCOME STATEMENTS
|
(U.S. dollars in
thousands, except per share data)
|
|
|
|
|
|
Nine months
ended
September 30,
|
Three months
ended
September 30,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
2020
|
|
|
|
|
|
|
Income from voyages
and related services
|
7,262,304
|
2,630,850
|
3,135,958
|
1,012,505
|
3,991,696
|
Cost of voyages
and related services
|
|
|
|
|
|
Operating expenses
and cost of services
|
(2,876,906)
|
(2,038,970)
|
(1,007,365)
|
(716,757)
|
(2,835,112)
|
Depreciation
|
(513,907)
|
(204,322)
|
(215,172)
|
(68,511)
|
(291,559)
|
Gross
profit
|
3,871,491
|
387,558
|
1,913,421
|
227,237
|
865,025
|
|
|
|
|
|
|
Other operating
income
|
9,519
|
8,019
|
5,354
|
2,507
|
12,621
|
Other operating
expenses
|
(714)
|
(642)
|
(255)
|
1,064
|
4,272
|
General and
administrative expenses
|
(183,910)
|
(114,760)
|
(60,375)
|
(42,721)
|
(163,210)
|
Share of profit of
associates
|
3,123
|
2,375
|
842
|
720
|
3,341
|
|
|
|
|
|
|
Results from
operating activities
|
3,699,509
|
282,550
|
1,858,987
|
188,807
|
722,049
|
|
|
|
|
|
|
Finance
income
|
9,082
|
1,379
|
3,383
|
(351)
|
8,103
|
Finance
expenses
|
(131,648)
|
(114,933)
|
(41,452)
|
(40,356)
|
(189,363)
|
|
|
|
|
|
|
Net finance
expenses
|
(122,566)
|
(113,554)
|
(38,069)
|
(40,707)
|
(181,260)
|
|
|
|
|
|
|
Profit before
income taxes
|
3,576,943
|
168,996
|
1,820,918
|
148,100
|
540,789
|
|
|
|
|
|
|
Income
taxes
|
(636,221)
|
(11,195)
|
(358,004)
|
(3,696)
|
(16,599)
|
|
|
|
|
|
|
Profit for the
period
|
2,940,722
|
157,801
|
1,462,914
|
144,404
|
524,190
|
|
|
|
|
|
|
Attributable
to:
|
|
|
|
|
|
|
|
|
|
|
|
Owners of the
Company
|
2,935,201
|
152,915
|
1,461,146
|
142,424
|
517,961
|
Non-controlling
interest
|
5,521
|
4,886
|
1,768
|
1,980
|
6,229
|
|
|
|
|
|
|
Profit for the
period
|
2,940,722
|
157,801
|
1,462,914
|
144,404
|
524,190
|
|
|
|
|
|
|
Earnings per
share
|
|
|
|
|
|
Basic earnings per 1
ordinary share
|
25.79
|
1.53(*)
|
12.53
|
1.42(*)
|
5.18
|
Diluted earnings per
1 ordinary share
|
24.79
|
1.47(*)
|
12.16
|
1.36(*)
|
4.96
|
|
|
|
|
|
|
Weighted average
number of shares used to calculate basic EPS
|
113,823,830
|
100,000,000
|
116,618,539
|
100,000,000
|
100,000,000
|
Weighted average
number of shares used to calculate diluted EPS
|
118,410,226
|
100,431,079
|
120,206,306
|
100,451,384
|
104,530,892
|
(*) Reflect a share split of
1:10 that became effective in 2021, in all presented
periods.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
(U.S. dollars in
thousands)
|
|
|
|
|
|
Nine months
ended
September 30,
|
Three months
ended
September 30,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
2020
|
|
|
|
|
|
|
Cash flows from
operating activities
|
|
|
|
|
|
Profit for the
period
|
2,940,722
|
157,801
|
1,462,914
|
144,404
|
524,190
|
|
|
|
|
|
|
Adjustments
for:
|
|
|
|
|
|
Depreciation and
amortization
|
530,643
|
220,878
|
220,925
|
74,274
|
314,185
|
Impairment losses
(recoveries) of tangible assets
|
|
600
|
|
(1,100)
|
(4,329)
|
Net finance
expenses
|
122,566
|
113,554
|
38,069
|
40,707
|
181,260
|
Share of profits and
change in fair value of investees
|
(4,016)
|
(3,197)
|
(832)
|
(1,542)
|
(4,143)
|
Capital
gain
|
(5,107)
|
(4,919)
|
(3,972)
|
(638)
|
(8,814)
|
Income
taxes
|
636,221
|
11,195
|
358,004
|
3,696
|
16,599
|
|
4,221,029
|
495,912
|
2,075,108
|
259,801
|
1,018,948
|
|
|
|
|
|
|
Change in
inventories
|
(55,056)
|
12,990
|
(7,543)
|
(3,839)
|
8,105
|
Change in trade and
other receivables
|
(695,611)
|
(50,583)
|
(261,557)
|
(80,521)
|
(204,469)
|
Change in trade and
other payables including contract liabilities
|
506,865
|
19,862
|
206,594
|
71,808
|
68,670
|
Change in provisions
and employee benefits
|
5,599
|
(6,674)
|
774
|
(322)
|
(2,152)
|
|
(238,203)
|
(24,405)
|
(61,732)
|
(12,874)
|
(129,846)
|
|
|
|
|
|
|
Dividends received
from associates
|
3,307
|
2,708
|
1,436
|
571
|
4,360
|
Interest
received
|
3,400
|
2,054
|
1,187
|
174
|
2,317
|
Income taxes
paid
|
(23,200)
|
(9,840)
|
(7,666)
|
(2,577)
|
(14,983)
|
Net cash generated
from operating activities
|
3,966,333
|
466,429
|
2,008,333
|
245,095
|
880,796
|
|
|
|
|
|
|
Cash flows from
investing activities
|
|
|
|
|
|
Proceeds from sale of
tangible and intangible assets, investments and
affiliates
|
5,008
|
4,352
|
2,721
|
1,358
|
6,717
|
Acquisition of
tangible assets, intangible assets and investments
|
(755,829)
|
(17,027)
|
(291,342)
|
(9,547)
|
(42,641)
|
Change in other
investments and other receivables
|
(284,210)
|
(351)
|
(298,536)
|
2,884
|
763
|
Net cash used in
investing activities
|
(1,035,031)
|
(13,026)
|
(587,157)
|
(5,305)
|
(35,161)
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
financing activities
|
|
|
|
|
|
Receipt of long-term
loans and other long-term liabilities
|
50,000
|
|
|
|
|
Issuance of share
capital, net of issuance costs
|
205,394
|
|
|
|
|
Sale and lease back
transactions
|
|
9,052
|
|
|
9,052
|
Repayment of
borrowings and lease liabilities
|
(926,481)
|
(203,382)
|
(234,055)
|
(62,351)
|
(336,225)
|
Change in short term
loans
|
(16,000)
|
5,471
|
(5)
|
800
|
6,071
|
Dividend paid to
non-controlling interests
|
(4,702)
|
(3,344)
|
|
|
(3,344)
|
Dividend paid to
owners of the Company
|
(237,030)
|
|
(237,030)
|
|
|
Interest and other
financial expenses paid
|
(117,334)
|
(93,903)
|
(40,076)
|
(32,508)
|
(135,952)
|
Net cash used in
financing activities
|
(1,046,153)
|
(286,106)
|
(511,166)
|
(94,059)
|
(460,398)
|
|
|
|
|
|
|
Net change in cash
and cash equivalents
|
1,885,149
|
167,297
|
910,010
|
145,731
|
385,237
|
Cash and cash
equivalents at beginning of the period
|
570,414
|
182,786
|
1,545,282
|
202,848
|
182,786
|
Effect of exchange
rate fluctuation on cash held
|
(566)
|
202
|
(295)
|
1,706
|
2,391
|
Cash and cash
equivalents at the end of the period
|
2,454,997
|
350,285
|
2,454,997
|
350,285
|
570,414
|
RECONCILIATION OF
NET INCOME TO ADJUSTED EBIT
|
(U.S. dollars in
millions)
|
|
|
|
|
Nine months
ended
September 30,
|
Three months
ended
September 30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net
income
|
2,941
|
158
|
1,463
|
144
|
Financial expenses,
net
|
123
|
114
|
38
|
41
|
Income
taxes
|
636
|
11
|
358
|
4
|
Operating
income (EBIT)
|
3,700
|
283
|
1,859
|
189
|
Non-cash charter hire
expenses
|
1
|
5
|
0
|
1
|
Impairment of
assets
|
0
|
1
|
0
|
(1)
|
Expenses related to
legal contingencies
|
5
|
0
|
0
|
0
|
Adjusted
EBIT
|
3,706
|
289
|
1,859
|
189
|
Adjusted EBIT
margin
|
51%
|
11%
|
59%
|
19%
|
RECONCILIATION OF
NET INCOME TO ADJUSTED EBITDA
|
(U.S. dollars in
millions)
|
|
|
|
|
Nine months
ended
September 30,
|
Three months
ended
September 30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net
income
|
2,941
|
158
|
1,463
|
144
|
Financial expenses,
net
|
123
|
114
|
38
|
41
|
Income
taxes
|
636
|
11
|
358
|
4
|
Depreciation &
amortization
|
530
|
220
|
221
|
74
|
EBITDA
|
4,230
|
503
|
2,080
|
263
|
Non-cash charter hire
expenses
|
1
|
0
|
0
|
0
|
Impairment of
assets
|
0
|
1
|
0
|
(1)
|
Expenses related to
legal contingencies
|
5
|
0
|
0
|
0
|
Adjusted
EBITDA
|
4,236
|
504
|
2,080
|
262
|
Adjusted EBITDA
margin
|
58%
|
19%
|
66%
|
26%
|
RECONCILIATION OF
NET CASH GENERATED FROM OPERATING ACTIVITES TO FREE CASH
FLOW
|
(U.S. dollars in
millions)
|
|
|
|
|
Nine months
ended
September 30,
|
Three months
ended
September 30,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net cash generated
from operating activities
|
3,966
|
466
|
2,008
|
245
|
Capital expenditures,
net
|
(750)
|
(12)
|
(288)
|
(8)
|
Free cash
flow
|
3,216
|
454
|
1,720
|
237
|
[1] See disclosure regarding "Use of Non-IFRS
Financial Measures" below.
[2] See disclosure regarding "Use of Non-IFRS
Measures in the Company's 2021 Guidance" below.
[3] Earnings per share calculation for all periods
reflect a share split of 1:10 that became effective in 2021. The
number of outstanding shares as of September
30, 2021, was 118,588,188.
View original
content:https://www.prnewswire.com/news-releases/zim-reports-record-financial-results-for-the-third-quarter-of-2021-301426593.html
SOURCE Zim Integrated Shipping Services Ltd.