One year in to its new strategy, A.P. Moller - Maersk has made substantial steps in its transformation, moving from a conglomerate to a focused and integrated global container logistics company.
The acquisition of Hamburg Süd has been completed and integration is progressing, and the new Maersk is digitising and transforming to improve customer experience, cost and asset productivity, and developing new revenue sources. There have been USD 14 billion in M&A transactions under the new strategy, and each has been strategically important and financially attractive.
The oil and oil-related businesses are being divested to bring greater focus on container logistics and the underlying business is improving, though still not satisfactory. 2017 was a challenging year with unsatisfactory performance, yet improvements have been demonstrated in revenue, EBITDA and ROIC.
"We are undertaking a transformation at scale, with significant progress one year in," CEO Søren Skou told the more than 200 investors, analysts, bankers and journalists who gathered at the landmark building by Copenhagen Harbour. "Across our businesses, we will continue to pull all levers to restore performance and bring us forward."
In the Energy division, viable structural solutions have been announced for two of the businesses, Maersk Oil and Maersk Tankers, realising substantial value of USD 9.3 billion and exceeding analyst consensus. A.P. Moller - Maersk is committed to distribute proceeds from the Energy separations to shareholders, subject to maintaining investment grade.