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HMM Net Profit Plunges Over 80% in Q3

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South Korean carrier HMM Co., Ltd. has reported a drop in net profit of more than 80% in the third quarter of 2025, citing weak freight rates and unfavourable market conditions.

1. Financial Results for Q3 2025
HMM reported Q3 revenue of KRW 2,706 billion (approximately US$1.85 billion) and an operating profit of KRW 297 billion (~US$205 million). Its net profit for the quarter came in at KRW 304 billion (~US$210 million). 
Despite the steep year-on-year decline, the company still maintained an operating margin of about 11%.

2. Market Environment & Contributing Factors
The carrier pointed to a drop in the average Shanghai Containerised Freight Index (SCFI), which stood at 1,481 points in Q3 — down around 52% year-on-year — indicating a significantly weakened market. 
Other headwinds include the traditional year-end slack season and ongoing uncertainty surrounding US tariff policy. 

3. Strategic Response
To counter the challenging environment, HMM is focusing on cost optimisation and operational efficiency. This includes adjusting port calls and vessel deployment across trade lanes, and shifting attention to higher-yield cargo segments such as reefer and out-of-gauge shipments while exploring new trade routes. 

4. Full Year To Date (Q1-Q3) Performance
For the first nine months of 2025, HMM posted revenue of KRW 8,184 billion (~US$5.58 billion), an operating profit of KRW 1,144 billion (~US$780 million), and a net profit of KRW 1,515 billion (~US$1.03 billion).