Moller-Maersk 9 month profit up 39 %

11-13-2008 | AP

Higher revenues were mainly boosted by its oil and gas business and freight rates

Panama Star COPENHAGEN, DENMARK. Danish container-shipping company A. P. Moller-Maersk A/S said Wednesday that net profit for the first nine months of 2008 jumped 39 percent, citing higher revenues boosted mainly by its oil and gas business and better freight rates.

But the Copenhagen-based group still lowered its outlook for 2008, which it blamed on the turbulence in the financial markets.

The group said it had been hit by a lower result from Denmark's largest bank, Danske Bank, where Maersk is a large shareholder. The stake is undisclosed, but market watchers estimate it at between 20-25 percent.

Last month, Danske Bank reported a 70 percent drop in third-quarter net profits, largely due to the global credit crunch. It also predicted a continued slowdown for the remainder of the year. For the full year 2008, Maersk said it now expects profit to come in between $4 billion-$4.3 billion. Earlier the group had projected it to land between $4 billion and $4.6 billion. Net profit for the Jan.-Sept. period came to $3.6 billion.