Clarkson PLC (LSE:CKN), the London-listed shipping services group, reported a fall in profits for 2025 as a volatile global trading environment overshadowed strong demand for brokerage and advisory services.
Underlying profit before tax fell 21% to ££90.6 million for the calendar year, as revenue decreased 4.5% to £631 million.
The group said it continued to benefit from resilient activity across shipping markets and a strong performance from its broking division.
Clarkson said shipping markets had remained highly sensitive to geopolitical developments, especially the current conflict in the Middle East, with disruptions reshaping trade routes and vessel deployment.
“Shipping has again been at the frontline of geopolitical events,” the company said, with fighting in the Middle East, particularly attacks on vessels transiting the Red Sea and Straits of Hormuz, having a direct impact on global shipping patterns.
Clarkson said the disruption had forced many vessels to divert around the Cape of Good Hope rather than pass through the Suez Canal, extending journey times and increasing the number of ships required to move the same volumes of cargo.
These diversions have supported freight markets by boosting tonne-mile demand, with the group noting that “Red Sea diversions also continued to support an uplift in vessel demand”.
While the company cautioned that geopolitical risks remain elevated, it said the structural drivers of shipping demand – including energy trade, commodities and fleet renewal – leave it well positioned for the year ahead.
"2025 was a year that tested the resilience and adaptability of the global shipping industry," said chief executive Andi Case.
"Whilst it is still early in 2026, we have started with strong momentum, supported by positive market sentiment and trading, and our diversified strategy, healthy forward order book and commitment to innovation, position us well for the year ahead, recognising that ongoing geopolitical uncertainty continues to drive complexity in our markets."