Container liner and logistics company ZIM Integrated Shipping said early Monday it is "continuously" looking at how to best allocate shipping capacity and cargo flow from China and Southeast Asian markets into the U.S. and that "despite the heightened level of uncertainty" around global trade it is sticking to its 2025 guidance.
ZIM Integrated Shipping reported better-than-expected first-quarter earnings and revenue early Monday. The company saw Q1 sales increase 29% to $2.01 billion with EPS soar 226% to $2.45. Before Monday's release, analyst consensus expected earnings of $1.87 per share with revenue totaling $1.84 billion.
Meanwhile, ZIM also reported that its cargo volumes grew 12% year-over-year in Q1, with the company dealing with 944,000 TEUs, the standard unit of measurement used in the shipping industry to describe the cargo capacity of container ships and ports.
Based on the Q1 results, ZIM decided to reaffirm its 2025 guidance of adjusted EBITDA of $1.6 billion-$2.2 billion with adjusted EBIT of $350 million-$950 million.
"As we look toward the remainder of the year, the operating environment is highly uncertain, driven by a range of factors impacting global trade and economic expectations," Chief Executive Eli Glickman said in the earnings release Monday. "Our focus is on controlling what we can and responding to market shifts quickly with decisive actions."
"Supported by our lower cost base, we believe ZIM is well positioned to drive profitable growth over the long term," Glickman added.
President Trump's China Tariff Cuts Revive Shipping Sector, But Uncertainty Remains
ZIM Integrated Shipping climbed 5.7% to 19.38 during Monday's stock market action. ZIM stock has rebounded from early April lows but is still below its 200-day moving average.
The Israeli-based company has a 91 Composite Rating out of a best-possible 99. The stock also has a 92 Relative Strength Rating and an 81 EPS Rating.
Trump Tariffs And Shipping Stocks
Shipping stocks were among last week's big winners after President Donald Trump slashed 145% China tariffs to 30%, likely spurring at least a partial shipping revival after ships from China to the U.S. almost completely ceased in recent weeks.
ZIM stock surged around 14% last Monday on the U.S.-China tariffs deal and finished the week up more than 28%, but remains below the 200-day line.
The 38 stocks in the IBD-tracked Transportation-Ship industry group have collectively declined nearly 7% during 2025. That puts the sector at a weak No. 170 out of 197 ranked industries, with 1 being the best performer and 197 the worst.
Domestic freight company Old Dominion Freight Line advanced more than 8% during last week's stock market while peer ArcBest popped 8.5%. Among other truckers, J.B. Hunt gained around 10% last week with Schneider National advancing 6%. Meanwhile, logistics XPO Logistics popped 15%.
Farm products exporter Archer-Daniels-Midland edged up about 3% in last week's stock market.
Please follow Kit Norton on X @KitNorton for more coverage.
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