Shares of ZIM Integrated Shipping Services (NYSE: ZIM) gained over 8% in pre-market trading on Monday after the Israeli cargo shipping company reported Q4 earnings of $3.44 per diluted share which exceeded analysts’ consensus estimate of $2.21 per share.
While sales declined by 37% year-over-year to $2.19 billion in Q4, they beat analysts’ expectations of $1.92 billion.
Eli Glickman, ZIM President, and CEO commented, “Returning cash to shareholders remains a priority for our company, and we are pleased to have drawn on our strong performance to declare a fourth quarter dividend of approximately $769 million, or $6.40 per share. In total, we will be providing shareholders dividends of $2.04 billion, representing approximately 44% of total 2022 net income.”
Looking forward, management now expects to generate adjusted EBITDA in the range of $1.8 billion to $2.2 billion in FY23 and adjusted EBIT between $100 and $500 million.
Overall, Wall Street analysts are sidelined about ZIM stock with a Hold consensus rating based on one Buy, one Hold and two Sells.
