Delayed Sale of HMM Sees Operating Profit Drop from 3.5 Trillion Won to 1.4 Trillion Won

[Financial News] HMM reported in a filing on the 11th that in 2025 it posted revenue of 10.8914 trillion won, operating profit of 1.4612 trillion won, and net profit of 1.8787 trillion won. Its operating margin came in at 13.4%, showing solid profitability despite weak shipping market conditions, but this is less than half of the 3.5128 trillion won in operating profit recorded in 2024.
In 2025, freight rates declined across all routes due to an oversupply of container ships and weaker trade caused by U.S. protectionist tariffs. The Shanghai Containerized Freight Index (SCFI) averaged 1,581 points in 2025, down 37% from the 2024 average of 2,506 points. The declines were 49% on the U.S. West Coast route, 42% on the U.S. East Coast route, and 49% on Europe routes.
In the fourth quarter of 2025, some global carriers slipped into the red amid a soft shipping market and seasonal low demand. HMM, however, recorded operating profit that was up 6.9% from the previous quarter and an operating margin of 11.7%. It improved profitability by optimizing route efficiency, attracting higher-yield cargo, and developing new trade lanes.
This year, a large number of new container ships are scheduled for delivery, and supply is expected to increase sharply. However, major institutions forecast demand growth of only 2.1%, suggesting that the supply–demand imbalance will worsen. On top of this structural instability, escalating trade disputes and growing uncertainty over environmental regulations are expected to lead to more frequent service changes and redeployments by carriers.
HMM plans to expand its market share in the container segment by growing its hub-and-spoke network and strengthening eco-friendly services, while improving its cost structure through an optimized feeder operating system. In the bulk segment, it aims to secure new business opportunities such as transporting mineral resources for the artificial intelligence industry and resuming domestic dedicated shipping services, in order to sustain stable growth.


ggg@fnnews.com Kang Gu-gwi Reporter