HAIFA, Israel, March 9, 2022 /PRNewswire/ -- ZIM Integrated
Shipping Services Ltd. (NYSE: ZIM), a global container liner
shipping company, announced today its consolidated results for the
three and twelve months ended December 31,
2021.
Fourth Quarter and Full Year 2021 Highlights
- Net income for the fourth quarter was $1.71 billion (compared to $366 million in the fourth quarter of 2020), a
year-over-year increase of 366%, or $14.17 per diluted share3; net income
for the full year was $4.65 billion
(compared to $524 million for the
full year of 2020), a year-over-year increase of 787%, or
$39.02 per diluted share
- Adjusted EBITDA for the fourth quarter was $2.36 billion, a year-over-year increase of 345%;
Adjusted EBITDA for the full year was $6.60
billion, a year-over-year increase of 537%
- Operating income (EBIT) for the fourth quarter was $2.12 billion, a year-over-year increase of 382%;
operating income (EBIT) for the full year was $5.82 billion, a year-over-year increase of 706%.
Reconciliation items between operating income and Adjusted EBIT in
the fourth quarter and full year were minor
- Revenues for the fourth quarter were $3.47 billion, a year-over-year increase of 155%;
revenues for the full year were $10.73
billion, a year-over-year increase of 169%
- Carried volume in the fourth quarter was 858 thousand TEUs, a
year-over-year increase of 7%. Carried volume in the full year was
3,481 thousand TEUs, a year-over-year increase of 23%,
significantly above industry average growth
- Average freight rate per TEU in fourth quarter was $3,630, a year-over-year increase of 139%.
Average freight rate per TEU in the full year was $2,786, a year-over-year increase of 127%
- Net leverage4 ratio of 0.0x at December 31, 2021, compared to 1.2x at
December 31, 2020; reached net
cash4 position of $509
million
- Declared approximately $2.04
billion, or $17.00 per share
dividend, representing 50% of 2021 net income on a cumulative basis
(including interim quarterly dividend already distributed on
account of Q3 2021 results). The dividend will be paid on
April 4, 2022 to holders of ZIM
ordinary shares as of March 23,
2022
- During 2021 and subsequent to year end, entered into multiple
charter agreements for a total of 36 newbuild vessels, of which 28
are LNG dual-fuel container vessels. The vessels are due to be
delivered to ZIM throughout 2023 and 2024
- Subsequent to year end, announced extension and modification of
operational cooperation agreement with the 2M alliance partners
Yair Seroussi, Chairman of the
Board of Directors stated, "2021 was a transformative year for
ZIM. We kicked off the year with listing our shares on the world's
leading capital market in New
York, and have not looked back since. The many
accomplishments of the past year and our remarkable performance,
both financially and operationally, are the direct outcome of the
unrivaled execution of our talented and dedicated management team
and employees around the world, supported by the Board. In 2021, we
took important steps to best position ZIM for long term enduring
growth and value creation for our shareholders. We remain focused
on maintaining our strong execution and agility in 2022 and beyond,
while advancing the highest standards of corporate governance and
responsibility."
Eli Glickman, ZIM President
& CEO, stated, "In our first year as the only global
container liner listed on New York Stock Exchange, ZIM has achieved
historically extraordinary results and executed on commitments made
during our IPO process. ZIM's agility and proactive strategies
enabled us to unlock significant shareholder value during a time of
unique and unprecedented challenges. With another quarter of
exceptional financial performance, we generated our highest ever
full year of revenues, adjusted EBITDA, net profit and operating
cash flows, while once again delivering industry-leading margins.
We also ended the year with a net positive cash position and strong
financial flexibility."
Mr. Glickman added, "Given our outstanding cash generation in
2021, we decisively allotted capital to support our customers as we
strive to provide best-in-class service. Importantly, we made
sizable investments in equipment to facilitate the movement of
cargoes for customers, as well as meaningfully expanded our
operating fleet capacity and launched 17 new lines since
June 2020, resulting in ZIM's
year-over-year carried volume tripling the global volume growth
rate. We also returned substantial capital to shareholders,
highlighted by a full year dividend of $19.50 per share, reflective of 50% of our 2021
net income. In total, including our special dividend paid in
September 2021, we will return to
shareholders approximately $2.6
billion or $21.50 per share
since our IPO, which represents approximately 30% of our current
market cap and, incredibly, approximately 50% higher than our IPO
market cap."
Mr. Glickman concluded, "Today, ZIM is commercially and
operationally stronger than ever making us more optimistic about
our future than ever before. We are excited to carry the
exceptional momentum of 2021 forward into 2022, and well beyond.
Notably, we are seizing the opportunity to be at the forefront of
carbon intensity reduction among global liners, with 28
eco-friendly LNG dual-fuel container vessels due to be delivered to
us between 2023 and 2024, which could account for 40% of our
operated capacity. Our strategy to predominantly charter in vessels
provides us a unique advantage, as we can easily transition our
operating capacity without a legacy fleet to replace. Complementing
our ESG objectives, we continue to invest in digital initiatives
and disruptive technologies and further strengthen our commercial
prospects to drive long-term profitable growth, while maintaining
our disciplined approach to capital allocation to maximize value
for all of ZIM's stakeholders."
Summary of Key
Financial and Operational Results
|
|
|
|
|
|
|
Q4'21
|
Q4'20
|
2021
|
2020
|
Carried volume
(K-TEUs)
|
858
|
799
|
3,481
|
2,841
|
Average freight rate
($/TEU)
|
3,630
|
1,518
|
2,786
|
1,229
|
Revenue ($ in
millions)
|
3,466
|
1,361
|
10,729
|
3,992
|
Operating income
(EBIT) ($ in millions)
|
2,116
|
439
|
5,816
|
722
|
Net income ($ in
millions)
|
1,708
|
366
|
4,649
|
524
|
Adjusted EBITDA ($ in
millions)
|
2,362
|
531
|
6,597
|
1,036
|
Adjusted EBIT ($ in
millions)
|
2,114
|
440
|
5,820
|
729
|
Adjusted EBITDA
margin
|
68.1%
|
39.0%
|
61.5%
|
25.9%
|
Adjusted EBIT
margin
|
61.0%
|
32.3%
|
54.2%
|
18.3%
|
Diluted EPS
($)
|
14.17
|
3.49
|
39.02
|
4.96
|
Net cash generated
from operating activities
($ in millions)
|
2,005
|
414
|
5,971
|
881
|
Free cash flow ($ in
millions)5
|
1,661
|
391
|
4,877
|
845
|
Net debt (Net cash)
($ in millions)
|
|
|
(509)
|
1,236
|
Financial and Operating Results for the Fourth Quarter Ended
December 31, 2021
Total
revenues were $3.47 billion for the
fourth quarter of 2021, compared to $1.36
billion for the fourth quarter of 2020, primarily driven by
an increase in revenues from containerized cargo, reflecting an
increase in freight rates as well as carried volume.
Operating income (EBIT) for the fourth quarter of 2021 was
$2.12 billion, compared to
$439 million for the fourth quarter
of 2020. Operating margin for the fourth quarter of 2021 was 61%,
compared to 32% in the fourth quarter of 2020.
Net income for the fourth quarter of 2021 was $1.71 billion, compared to $366 million for the fourth quarter of 2020. Net
income for the fourth quarter of 2021 included a tax expense of
$374 million.
Adjusted EBITDA was $2.36 billion
for the fourth quarter of 2021, compared to $531 million for the fourth quarter of 2020.
Adjusted EBIT was $2.11 billion for
the fourth quarter of 2021, compared to
$440 million for the fourth quarter of 2020.
Adjusted EBITDA and Adjusted EBIT margins for the fourth quarter of
2021 were 68% and 61%, respectively. This compares to 39% and 32%
for the fourth quarter of 2020.
Net cash generated from operating activities was $2.00 billion for the fourth quarter of 2021,
compared to $414 million for the
fourth quarter of 2020.
ZIM carried 858 thousand TEUs in the fourth quarter of 2021,
compared to 799 thousand TEUs in the fourth quarter of 2020. The
average freight rate per TEU was $3,630 for the fourth quarter of 2021, compared
to $1,518 for the fourth quarter of
2020.
Financial and Operating Highlights for the Full Year Ended
December 31, 2021
Total
revenues were $10.73 billion for the
full year of 2021, compared to $3.99
billion for the full year of 2020, primarily driven by an
increase in revenues from containerized cargo, reflecting increases
in freight rates and carried volume.
Operating income (EBIT) for the full year of 2021 was
$5.82 billion, compared to
$722 million for the full year of
2020. Operating margin for the full year of 2021 was 54%, compared
to 18% for the full year of 2020.
Net income for the full year of 2021 was $4.65 billion, compared to $524 million for the full year of 2020. Net
income for the full year of 2021 included a tax expense of
$1.01 billion.
Adjusted EBITDA was $6.60 billion
for the full year of 2021, compared to $1.04
billion for the full year of 2020. Adjusted EBIT was
$5.82 billion for the full year of
2021, compared to $729 million for
the full year of 2020. Adjusted EBITDA and Adjusted EBIT margins
for the full year of 2021 were 61% and 54%, respectively. This
compares to 26% and 18% for the full year of 2020.
Net cash generated from operating activities was $5.97 billion for the full year of 2021, compared
to $881 million for the full year of
2020.
ZIM carried 3,481 thousand TEUs in the full year of 2021,
compared to 2,841 thousand TEUs in the full year of 2020. The
average freight rate per TEU was $2,786 for the full year of 2021, compared to
$1,229 for the full year of 2020.
Liquidity, Cash Flows and Capital Allocation
ZIM's
total cash position (which includes cash and cash equivalents and
investments in bank deposits and other investment instruments)
increased by $3.24 billion from
$572 million as of December 31, 2020 to $3.81
billion at December 31, 2021.
Capital expenditures totaled $1.01
billion for the year ended December
31, 2021, compared with $43
million for the year ended December
31, 2020. Net debt decreased by $1.74
billion from $1.24 billion as
of December 31, 2020 to a net cash
position of $509 million as of
December 31, 2021. ZIM's net leverage
ratio as of December 31, 2021 was
0.0x, compared to 1.2x as of December 31,
2020.
2021 Dividends
In accordance with the Company's
dividend policy, ZIM's Board of Directors declared a cash dividend
of approximately $2.04 billion, or
$17.00 per ordinary share, reflecting
approximately 50% of 2021 net income on a cumulative basis,
including the $2.50 per share interim
dividend paid in December 2021 on
account of Q3 2021 results. The dividend will be paid on
April 4, 2022, to holders of record
of the ordinary shares as of March 23,
2022.
Total dividend distribution since ZIM's initial public offering
in January 2021, including the 2021
annual dividend of $19.50 per share
and special dividend of $2.00 per
share (~$237 million) paid in
September 2021, amounted to
approximately $2.57 billion, or
$21.50 per ordinary share.
Dividend policy: the Company intends to distribute a dividend to
shareholders on a quarterly basis at a rate of approximately 20% of
the net income derived during such fiscal quarter with respect to
the first three fiscal quarters of the year, while the cumulative
annual dividend amount to be distributed by the Company (including
the interim dividends paid during the first three fiscal quarters
of the year) will total 30-50% of the annual net income. All
future dividends are subject to the Company's Board discretion and
to the restrictions provided by Israeli law.
Chartering Agreements for Newbuild Vessels
During 2021 and subsequent to year end, ZIM entered into four
charter agreements for a total of 36 newbuild vessels, as
follows:
- 10 x 15,000 TEU LNG dual-fuel container vessels chartered from
Seaspan, intended to serve on the Asia to US East Coast trade
- 18 x 7,000 TEU LNG dual-fuel container vessels chartered from
Seaspan (15 vessels) and an affiliate of Kenon Holdings (3
vessels), intended to serve across various global trades
- 8 x 5,300 TEU wide beam vessels chartered from Navios Maritime
Partners, intended to serve in trades between Asia and Africa
All the newbuild vessels are expected to be delivered to ZIM
during 2023 and 2024.
Collaboration with 2M Alliance
Partners
In February 2022,
the Company announced the formal extension and modification of its
operational collaboration agreement with the 2M alliance partners. Effective April 2, 2022, ZIM and the 2M alliance partners will operate their joint
services on the Asia – US East
Coast (USEC) and Asia – US Gulf
Coast (USGC) trades based on a slot exchange and vessel sharing
agreement. Accordingly, ZIM will solely operate two out of the six
joint Asia to USEC services (ZCP
& ZSE) as well as three additional vessels on one of two joint
Asia to USGC services (ZGX).
Full-Year 2022 Guidance
In 2022, the Company expects
to generate Adjusted EBITDA of between $7.1
billion and $7.5 billion
and Adjusted EBIT of between $5.6 billion to $6.0 billion.
Use of Non-IFRS Measures in the Company's 2022
Guidance
A reconciliation of the Company's non-IFRS
financial measures included in its full-year 2022 guidance to
corresponding IFRS measures is not available on a forward-looking
basis. In particular, the Company has not reconciled its Adjusted
EBITDA and Adjusted EBIT because the various reconciling items
between such non-IFRS financial measures and such corresponding
IFRS measures cannot be determined without unreasonable effort due
to the uncertainty regarding, and the potential variability of, the
future costs and expenses for which the Company adjusts, the effect
of which may be significant, and all of which are difficult to
predict and are subject to frequent change.
Conference Call Details
Management will host a
conference call and webcast (along with a slide presentation) to
review the results and provide a corporate update today at
8:00 AM ET.
To access the live conference call by telephone, please dial the
following numbers: United States
+1-855-265-6958 or +1-718-705-8796; Israel +972-3-721-9662 or UK/international
+44-1-212-818-004. The call (and slide presentation) will be
available via live webcast through ZIM's website, located at the
following link. Following the conclusion of the call, a replay of
the conference call will be available on the Company's website.
Annual Report on Form 20-F for 2021
In accordance
with rule 203.01 of the NYSE, the Company's Annual Report filed
with the Securities and Exchange Commission on March 9, 2022, on Form 20-F is available on the
Company's website. Hard copies of the Annual Report will be
provided free of charge upon request from the Company.
About ZIM
ZIM (NYSE: ZIM) is a global container liner
shipping company with leadership positions in the markets in which
it operates. Founded in Israel in
1945, ZIM is a veteran shipping liner, with decades of experience
providing customers with innovative seaborne transportation and
logistics services, a reputation for industry-leading transit
times, schedule reliability and service excellence. Additional
information about ZIM is available at www.ZIM.com.
Forward-Looking Statements
The following information
contains, or may be deemed to contain forward-looking statements
(as defined in the U.S. Private Securities Litigation Reform Act of
1995 and the Israeli Securities Law, 1968). In some cases, you can
identify these statements by forward-looking words such as "may,"
"might," "will," "should," "expect," "plan," "anticipate,"
"believe," "estimate," "predict," "potential" or "continue," the
negative of these terms and other comparable terminology. These
forward-looking statements, which are subject to risks,
uncertainties and assumptions about the Company, may include
projections of the Company's future financial results, its
anticipated growth strategies and anticipated trends in its
business. These statements are only predictions based on the
Company's current expectations and projections about future events
or results. There are important factors that could cause the
Company's actual results, level of activity, performance or
achievements to differ materially from the results, level of
activity, performance or achievements expressed or implied by the
forward-looking statements. Factors that could cause such
differences include, but are not limited to: market changes in
freight, bunker, charter and other rates or prices, new legislation
or regulation affecting the Company's operations, new competition
and changes in the competitive environment, the outcome of legal
proceedings to which the Company is a party, global and/or regional
political instability, and other risks and uncertainties detailed
from time to time in the Company's filings with the U.S. Securities
and Exchange Commission (SEC), including under the caption "Risk
Factors" in its 2021 Annual Report filed with the SEC
today.
Although the Company believes the expectations reflected in the
forward-looking statements contained herein are reasonable, it
cannot guarantee future results, level of activity, performance or
achievements. Moreover, neither the Company nor any other person
assumes responsibility for the accuracy and completeness of any of
these forward-looking statements. The Company assumes no duty to
update any of these forward-looking statements after the date
hereof to conform its prior statements to actual results or revised
expectations, except as otherwise required by law.
The Company prepares its financial statements in accordance with
International Financial Reporting Standards (IFRS), as issued by
the International Accounting Standards Board (IASB).
1 See disclosure regarding "Use of Non-IFRS
Financial Measures" below.
2 2021 annual dividend includes interim dividend
declared on account of Q3 2021 quarterly results already
distributed.
3 Earnings per share calculation for all periods
reflect a share split of 1:10 that became effective in 2021. The
number of outstanding shares as of December
31, 2021, was 119,743,188.
4 See disclosure regarding "Use of Non-IFRS
Financial Measures" below.
5 See disclosure regarding "Use of Non-IFRS
Financial Measures" below.
Use of Non-IFRS Financial Measures
The Company
presents non-IFRS measures as additional performance measures as
the Company believes that it enables the comparison of operating
performance between periods on a consistent basis. These measures
should not be considered in isolation, or as a substitute for
operating income, any other performance measures, or cash flow
data, which were prepared in accordance with Generally Accepted
Accounting Principles as measures of profitability or liquidity.
Please note that Adjusted EBITDA does not take into account debt
service requirements, or other commitments, including capital
expenditures, and therefore, does not necessarily indicate the
amounts that may be available for the Company's use. In addition,
non-IFRS financial measures, as those presented by the Company, may
not be comparable to similarly titled measures reported by other
companies, due to differences in the way these measures are
calculated.
Adjusted EBITDA is a non-IFRS financial measure
which we define as net income (loss) adjusted to exclude financial
expenses (income), net, income taxes, depreciation and amortization
in order to reach EBITDA, and further adjusted to exclude
impairment of assets, non-cash charter hire expenses, capital gains
(losses) beyond the ordinary course of business and expenses
related to legal contingencies.
Adjusted EBIT is a non-IFRS financial measure which
we define as net income (loss) adjusted to exclude financial
expenses (income), net and income taxes, in order to reach our
results from operating activities, or EBIT, and further adjusted to
exclude impairment of assets, non-cash charter hire expenses,
capital gains (losses) beyond the ordinary course of business and
expenses related to legal contingencies.
Free cash flow is a non-IFRS financial measure which we
define as net cash generated from operating activities minus
capital expenditures, net.
Net debt is a non-IFRS financial measure which we define
as face value of short- and long-term debt, minus cash and cash
equivalents, bank deposits and other investment instruments.
We refer to net cash when cash and cash equivalents,
bank deposits and other investment instruments exceed the face
value of short- and long-term debt.
Net leverage ratio is a non-IFRS financial measure which
we define net debt (see above) divided by Adjusted EBITDA of the
last twelve-month period.
See the reconciliation of net income to Adjusted EBITDA and
Adjusted EBIT and net cash generated from operating activities to
free cash flow under "Reconciliation of Non-IFRS Measures"
below.
Investor Relations:
Elana Holzman
ZIM Integrated Shipping Services Ltd.
+972-4-865-2300
holzman.elana@zim.com
Leon Berman
The IGB Group
212-477-8438
lberman@igbir.com
Media:
Avner Shats
ZIM Integrated Shipping Services Ltd.
+972-4-8652520
shats.avner@zim.com
CONSOLIDATED
BALANCE SHEET
|
(U.S. dollars in
thousands)
|
|
|
December
31
|
|
2021
|
2020
|
Assets
|
|
|
Vessels
|
2,957,848
|
948,004
|
Containers and
handling equipment
|
1,365,759
|
520,887
|
Other tangible
assets
|
68,947
|
67,133
|
Intangible
assets
|
73,833
|
66,465
|
Investments in
associates
|
12,223
|
8,441
|
Other
investments
|
169,201
|
4,888
|
Trade and other
receivables
|
107,020
|
5,293
|
Deferred tax
assets
|
2,142
|
1,502
|
Total non-current
assets
|
4,756,973
|
1,622,613
|
|
|
|
|
|
|
Inventories
|
118,965
|
52,237
|
Trade and other
receivables
|
1,278,142
|
520,001
|
Other
investments
|
2,144,458
|
58,976
|
Cash and cash
equivalents
|
1,543,300
|
570,414
|
Total current
assets
|
5,084,865
|
1,201,628
|
Total
assets
|
9,841,838
|
2,824,241
|
|
|
|
Equity
|
|
|
Share capital and
reserves
|
2,011,409
|
1,790,794
|
Retained earnings
(deficit)
|
2,580,596
|
(1,523,528)
|
Equity
attributable to owners of the Company
|
4,592,005
|
267,266
|
Non-controlling
interests
|
7,524
|
7,189
|
Total
equity
|
4,599,529
|
274,455
|
|
|
|
Liabilities
|
|
|
Lease
liabilities
|
2,178,676
|
811,840
|
Loans and other
liabilities
|
120,827
|
519,471
|
Employee
benefits
|
65,592
|
66,626
|
Deferred tax
liabilities
|
120,619
|
339
|
Total non-current
liabilities
|
2,485,714
|
1,398,276
|
|
|
|
Trade and other
payables
|
1,086,214
|
398,876
|
Provisions
|
28,333
|
21,420
|
Contract
liabilities
|
618,342
|
230,469
|
Lease
liabilities
|
893,004
|
362,176
|
Loans and other
liabilities
|
130,702
|
138,569
|
Total current
liabilities
|
2,756,595
|
1,151,510
|
Total
liabilities
|
5,242,309
|
2,549,786
|
|
|
|
Total equity and
liabilities
|
9,841,838
|
2,824,241
|
CONSOLIDATED
INCOME STATEMENTS
|
(U.S. dollars in
thousands, except per share data)
|
|
|
Three months
ended
December 31,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Income from voyages
and related services
|
3,466,394
|
1,360,846
|
10,728,698
|
3,991,696
|
|
|
|
|
|
Cost of voyages
and related services
|
|
|
|
|
|
|
|
|
|
Operating expenses
and cost of services
|
(1,029,042)
|
(796,142)
|
(3,905,948)
|
(2,835,112)
|
Depreciation
|
(242,352)
|
(87,237)
|
(756,259)
|
(291,559)
|
|
|
|
|
|
Gross
profit
|
2,195,000
|
477,467
|
6,066,491
|
865,025
|
|
|
|
|
|
Other operating
income
|
5,013
|
4,602
|
14,532
|
12,621
|
Other operating
expenses
|
(254)
|
4,914
|
(968)
|
4,272
|
General and
administrative expenses
|
(83,799)
|
(48,450)
|
(267,709)
|
(163,210)
|
Share of profits of
associates
|
832
|
966
|
3,955
|
3,341
|
|
|
|
|
|
Results from
operating activities
|
2,116,792
|
439,499
|
5,816,301
|
722,049
|
|
|
|
|
|
Finance
income
|
9,704
|
6,724
|
18,786
|
8,103
|
Finance
expenses
|
(43,947)
|
(74,430)
|
(175,595)
|
(189,363)
|
|
|
|
|
|
Net finance
expenses
|
(34,243)
|
(67,706)
|
(156,809)
|
(181,260)
|
|
|
|
|
|
Profit before
income taxes
|
2,082,549
|
371,793
|
5,659,492
|
540,789
|
|
|
|
|
|
Income
taxes
|
(374,126)
|
(5,404)
|
(1,010,347)
|
(16,599)
|
|
|
|
|
|
Profit for the
year
|
1,708,423
|
366,389
|
4,649,145
|
524,190
|
|
|
|
|
|
Attributable
to:
|
|
|
|
|
|
|
|
|
|
Owners of the
Company
|
1,705,104
|
365,046
|
4,640,305
|
517,961
|
Non-controlling interests
|
3,319
|
1,343
|
8,840
|
6,229
|
|
|
|
|
|
Profit for
the year
|
1,708,423
|
366,389
|
4,649,145
|
524,190
|
|
|
|
|
|
Earnings per share
(US$)
|
|
|
|
|
Basic earnings per 1
ordinary share
|
14.34
|
3.65
|
40.31
|
5.18
|
Diluted earnings per
1 ordinary share
|
14.17
|
3.49
|
39.02
|
4.96
|
|
|
|
|
|
Weighted average
number of shares
for EPS calculation:
|
|
|
|
|
Basic
|
118,908,731
|
100,000,000
|
115,105,504
|
100,000,000
|
Diluted
|
120,332,347
|
104,641,014
|
118,933,723
|
104,530,892
|
CONSOLIDATED STATEMENTS OF CASH
FLOW
|
(U.S. dollars in
thousands)
|
|
|
Year ended
December 31,
|
|
2021
|
2020
|
Cash flows from
operating activities
|
|
|
Profit for the
year
|
4,649,145
|
524,190
|
|
|
|
Adjustments
for:
|
|
|
Depreciation and
amortization
|
779,223
|
314,185
|
Impairment loss
(recovery) in respect of tangible assets
|
|
(4,329)
|
Net finance
expenses
|
156,809
|
181,260
|
Share of profits and
change in fair value of investees
|
(4,627)
|
(4,143)
|
Capital gains,
net
|
(8,736)
|
(8,814)
|
Income
taxes
|
1,010,347
|
16,599
|
Other non-cash
items
|
20,771
|
|
|
|
|
|
6,602,932
|
1,018,948
|
|
|
|
Change in
inventories
|
(66,728)
|
8,105
|
Change in trade
receivables and other receivables
|
(766,555)
|
(204,469)
|
Change in trade and
other payables including contract liabilities
|
555,881
|
68,670
|
Change in provisions
and employee benefits
|
6,572
|
(2,152)
|
|
|
|
|
(270,830)
|
(129,846)
|
|
|
|
Dividends received
from associates
|
4,395
|
4,360
|
Interest
received
|
3,562
|
2,317
|
Income taxes
paid
|
(369,127)
|
(14,983)
|
|
|
|
Net cash generated
from operating activities
|
5,970,932
|
880,796
|
|
|
|
Cash flows from
investing activities
|
|
|
Proceeds from sale of
tangible assets, intangible assets and
interest in investees
|
10,905
|
6,717
|
Acquisition of
tangible assets, intangible assets and interest in
investees
|
(1,005,030)
|
(42,641)
|
Acquisition of
investment instruments, net
|
(182,399)
|
|
Change in other
receivables
|
(101,783)
|
|
Change in other
investments (mainly deposits), net
|
(2,064,744)
|
763
|
Net cash generated
from (used in) investing activities
|
(3,343,051)
|
(35,161)
|
|
|
|
CONSOLIDATED STATEMENTS OF CASH
FLOW
|
(U.S. dollars in
thousands)
|
|
|
Year ended
December 31,
|
|
2021
|
2020
|
Cash flows from
financing activities
|
|
|
Receipt of long-term
loans and other long-term
liabilities
|
50,000
|
|
Issuance of share
capital, net of issuance costs
|
205,394
|
|
Sale and lease back
transactions
|
|
9,052
|
Repayment of borrowings
and lease liabilities (including early
repayments)
|
(1,191,313)
|
(336,225)
|
Change in short-term
loans
|
(15,998)
|
6,071
|
Dividend paid to
non-controlling interests
|
(4,702)
|
(3,344)
|
Dividend paid to owners
of the Company
|
(536,388)
|
|
Interest
paid
|
(160,019)
|
(133,459)
|
Other financial
expenses paid
|
|
(2,493)
|
Net cash used in
financing activities
|
(1,653,026)
|
(460,398)
|
|
|
|
Net change in cash and
cash equivalents
|
974,855
|
385,237
|
Cash and cash
equivalents at beginning of the year
|
570,414
|
182,786
|
Effect of exchange rate
fluctuation on cash held
|
(1,969)
|
2,391
|
|
|
|
Cash and cash
equivalents at the end of the year
|
1,543,300
|
570,414
|
RECONCILIATION OF
NET INCOME TO ADJUSTED EBIT
|
(U.S. dollars in
millions)
|
|
|
Three months
ended
December 31,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net
income
|
1,708
|
366
|
4,649
|
524
|
Financial expenses
(income), net
|
34
|
67
|
157
|
181
|
Income
taxes
|
374
|
6
|
1,010
|
17
|
Operating
income (EBIT)
|
2,116
|
439
|
5,816
|
722
|
Non-cash charter hire
expenses
|
1
|
3
|
2
|
8
|
Impairment losses
(recoveries) of assets
|
-
|
(5)
|
-
|
(4)
|
Expenses related to
legal contingencies
|
(3)
|
3
|
2
|
3
|
Adjusted
EBIT
|
2,114
|
440
|
5,820
|
729
|
Adjusted EBIT
margin
|
61%
|
32%
|
54%
|
18%
|
RECONCILIATION OF
NET INCOME TO ADJUSTED EBITDA
|
(U.S. dollars in
millions)
|
|
|
Three months
ended
December 31,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net
income
|
1,708
|
366
|
4,649
|
524
|
Financial expenses
(income), net
|
34
|
67
|
157
|
181
|
Income
taxes
|
374
|
6
|
1,010
|
17
|
Depreciation and
amortization
|
249
|
94
|
780
|
314
|
EBITDA
|
2,365
|
533
|
6,596
|
1,036
|
Non-cash charter hire
expenses
|
-
|
-
|
(1)
|
1
|
Impairment losses
(recoveries) of assets
|
-
|
(5)
|
-
|
(4)
|
Expenses related to
legal contingencies
|
(3)
|
3
|
2
|
3
|
Adjusted
EBITDA
|
2,362
|
531
|
6,597
|
1,036
|
Adjusted EBITDA
margin
|
68%
|
39%
|
61%
|
26%
|
RECONCILIATION OF
NET CASH GENERATED FROM OPERATING ACTIVITIES TO FREE CASH
FLOW
|
(U.S. dollars in
millions)
|
|
|
Three months
ended
December 31,
|
Year ended
December 31,
|
|
2021
|
2020
|
2021
|
2020
|
|
|
|
|
|
Net cash generated
from operating activities
|
2,005
|
414
|
5,971
|
881
|
Capital expenditures,
net
|
(344)
|
(23)
|
(1,094)
|
(36)
|
Free cash
flow
|
1,661
|
391
|
4,877
|
845
|
View original
content:https://www.prnewswire.com/news-releases/zim-reports-record-financial-results-for-the-fourth-quarter-and-full-year-2021-301498931.html
SOURCE ZIM Integrated Shipping Services Ltd.