Søren Skou, group CEO of AP Møller Mærsk, outlined his vision for the future of the company’s transport and logistics businesses during the firm’s capital markets day this morning.
The group announced in September it is splitting its transport and logistics divisions away from its energy related business. Energy makes up around 25% of the group’s current total revenues. Skou said he was keen to make up this loss in revenues fast – with recent addition Hamburg Sud filling the gap by 15%, leaving just 10% to fill.
Analysts are predicting the group will soon sell off all or part of its energy holdings to fund further transport acquisitions.
“With Hamburg Sud we will build a very strong dual platform in South America,” he said, comparing the move to what Maersk has done in Africa since it took over Safmarine in 1999.
“Our aim is to become a global integrator of container logistics,” Skou said, explaining he wanted to link up and integrate various strands of Maersk businesses to be more like UPS and FedEx with better cross selling of services to customers.
Skou also said the consolidation seen in the liner sector would benefit Maersk going forward.
By 2018 the top five carriers will have about two thirds of the global market, Skou observed, adding: “We believe more is likely to come on the consolidation front in the coming years.”
Looking further ahead, the Maersk boss said: “The industry does not need any new ships.”
Skou predicted that by 2022 there would be around 23m teu in global liner capacity against a likely demand for 22m teu.
“Merging, acquiring is the most rational thing,” he suggested.
Overcapacity is also hitting container terminal sector, Skou warned.
“Terminals cannot expect to be utilised as well as they used to be unless you do something about it which we intend to do so,” Skou said.