ZIM Gears Up to Report Q3 Earnings: What's in the Cards?

ZIM Integrated Shipping Services ZIM is set to report third-quarter 2025 results on Nov. 20, before the market opens.  

The EPS estimate for the to-be-reported quarter has been revised 5.7% upward to $1.67 over the past 60 days. The bottom-line projection indicates a year-over-year decline of 82.1%. The Zacks Consensus Estimate for quarterly revenues, currently pegged at $1.93 billion, indicates a year-over-year decrease of 30.1%.

For 2025, the Zacks Consensus Estimate for ZIM’s revenues is pegged at $7.2 billion, implying a contraction of 15.2% year over year. The consensus mark for 2025 EPS is pegged at $3.78, implying a decline of 78.8% year over year.

In the trailing four quarters, this shipping company’s earnings surpassed estimates in three of the past four quarters (missing the mark on the other occasion). The average beat is 0.5%.

ZIM Integrated Shipping Services Price and EPS Surprise

ZIM Integrated Shipping Services  price-eps-surprise | ZIM Integrated Shipping Services Quote

Q3 Earnings Whispers for ZIM Stock

Our proven model does not predict an earnings beat for ZIM this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

ZIM has an Earnings ESP of -24.32% and a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Factors Shaping ZIM’s Q3 Results

We expect the company’s bottom-line performance to have been hit by escalated voyage operating costs. High labor costs are also likely to have been a spoilsport. Geopolitical risks pose operational challenges and might hurt results.

An update on the tariff concerns is expected on the third-quarter conference call. Moreover, an update on the United States’ decision to pause port fees on Chinese ships for a year is also expected.

A decrease in freight rates and carried volume is expected to have hurt revenues in the to-be-reported quarter. However, continued fleet expansion initiatives are likely to have driven the company’s performance.

Highlights of ZIM’s Q2 Earnings

Quarterly earnings of 19 cents per share lagged the Zacks Consensus Estimate of $1.50 and declined 93.8% on a year-over-year basis. Adjusted EBITDA for the second quarter was $472 million, down 38% on a year-over-year basis. Adjusted EBITDA margins for the second quarter of 2025 fell to 29% from 40% in the year-ago quarter.

Revenues of $1.63 billion lagged the Zacks Consensus Estimate of $1.76 billion and declined 15.3% from the year-ago quarter. Adjusted EBIT was $149 million in the second quarter of 2025 compared with $488 million in the year-ago quarter. Adjusted EBIT margins in the second quarter of 2025 fell to 9% from 25% in the year-ago quarter.

ZIM’s Disappointing Price Performance

Over the past year, shares of ZIM have lost 38.1%, underperforming the Zacks Transportation - Shipping industry. ZIM has performed worse than fellow industry player Seanergy Maritime Holdings SHIP and Frontline FRO in the same timeframe. While shares of Seanergy Maritime have declined in single digits, those of Frontline have gained in double digits year to date.

1-Year Price Comparison

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This article originally published on Zacks Investment Research (zacks.com).

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