ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) Q4 2022 Results Conference Call March 13, 2023 8:00 AM ET

Company Participants

Elana Holzman - Head, Investor Relations

Eli Glickman - President & Chief Executive Officer

Xavier Destriau - Chief Financial Officer

Conference Call Participants

Omar Nokta - Jefferies

Sam Bland - JP Morgan

Sathish Sivakumar - Citigroup

Alexia Dodani - Barclays

Operator

Ladies and gentlemen, thank you for standing by. I am Ecola [ph] your chorus call operator. Welcome and thank you for joining the ZIM Integrated Shipping Services Q4 and Full Year 2022 Earnings Conference Call. Throughout today's recorded presentation, all participants will be in a listen-only mode. The presentation will be followed by a question-and-answer session. [Operator Instructions].

I would now like to turn the conference over to Elana Holzman, Head of Investor Relations. Please go ahead.

Elana Holzman

Thank you, operator. And welcome to ZIM's fourth quarter and full year 2022 financial results conference call. Joining me on the call today are Eli Glickman, ZIM's President and CEO; and Xavier Destriau, ZIM's CFO.

Before we begin, I would like to remind you that during the course of this call, we will make forward-looking statements regarding expectations, predictions, projections or future events or results. We believe that our expectations and assumptions are reasonable. We wish to caution you that such statements reflect only the Company's current expectations and that actual events or results may differ, including materially.

You are kindly referred to consider the risk factors and cautionary language described in the documents the company files with the Securities and Exchange Commission, including our 2022 annual report filed on Form 20-F today March 13, 2023. We undertake no obligation to update these forward-looking statements. At this time, I would like to turn the call over to ZIM's CEO, Eli Glickman. Eli?

Eli Glickman

Thank you, Lana, and welcome to everyone to today's call.

Slide number 3. 2022 was a record year for ZIM in terms of EBITDA and EBIT results. We delivered adjusted EBITDA of $7.5 billion and adjusted EBIT of $6.1 billion, 14% and 6% higher than 2021 respectively.

For the year, adjusted EBITDA margin reached 60% and adjusted EBIT margin reached 49%. The development of our quarterly results in 2022 reflect changing market dynamics throughout the year. Q1 2022 was our best quarter ever with respect to all financial and operational parameters. And since then, our quarterly results have declined sequentially with Q4 2022 results dramatically reflecting the negative impact of the declining freight rates. I'm incredibly proud to present these results today and of the ZIM team for their exceptional execution in delivering these record results and meeting our 2022 guidance, especially considering the evolving market conditions.