*

Red Sea, U.S. tariffs decisive for 2025 performance

*

Net profit fell by nearly a fifth in 2024, dividend to be

cut

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Looks to fleet investments, Gemini cooperation with Maersk

(Adds CEO remarks from call with reporters in paragraphs 2, 4

and 6; share price in paragraph 5)

By Vera Eckert

FRANKFURT, March 20 (Reuters) - Container shipping firm

Hapag-Lloyd ( HLAGF ) said on Thursday net profit fell nearly

19% in 2024 and is expected to decline further this year, with

U.S. tariffs and Houthi militant attacks on shipping in the Red

Sea clouding the outlook.

The world's fifth biggest container liner said President

Donald Trump's tariff policies were weighing on demand, while

the timing of operators' return to the Red Sea would be decisive

for operational performance in 2025.

"The economic and geopolitical environment remains fragile.

In this context, we anticipate earnings in 2025 to be lower than

in 2024," he said.

In a call with reporters, he said later that he expected the

U.S. economic growth outlook to be reduced.

The company also proposed an 11.4% year-on-year cut in its

dividend for last year to 8.20 euros per share. Shares in the

group were down 8% at 1200 GMT.

Habben Jansen said there would not be a quick resolution of

the Suez Canal crisis, with vessel owners forced to sail a

costly alternative route around Africa to avoid attacks by

Houthi militants in the Red Sea.

The company, which started the Gemini cooperation with rival

Maersk in February, said it would keep a close eye

on unit costs and develop its terminal business and onshore

businesses in the current year.

It has ordered and arranged financing for 24 new ships from

China.

Net profit at the group fell to 2.4 billion euros ($2.61

billion) in 2024 from 2.9 billion.

Earnings before interest and taxes for 2025 were forecast at

between zero and 1.5 billion euros, against 2.6 billion posted

in 2024.

($1 = 0.9180 euros)