Evergreen Marine Corporation is reported to have provided year-end bonuses for 2024, with employees set to receive an average of 20 months’ salary, according to Taiwan news outlets.
Alongside these bonuses, profit-sharing could add another 3.1 months of salary. Projections suggest that fourth-quarter profits might further increase payouts to four months.
The bonuses recall the company’s famed “showered with cash” practice, which has re-emerged as Evergreen posts exceptional profits.
For the first three quarters of 2024, the company achieved earnings per share (EPS) of NT$50.68.
Profit-sharing, calculated as 0.5% of the company’s profits, is expected to yield each employee an additional NT$190,000 (S$7,866), based on an average monthly salary of NT$60,000. Including anticipated fourth-quarter gains, total bonuses may significantly exceed these estimates.
In the third quarter alone, Evergreen Marine posted a consolidated after-tax profit of NT$61.913 billion, marking an 182.6% year-on-year increase. Quarterly EPS reached NT$28.75.
For the first nine months of 2024, after-tax profits totalled NT$108.754 billion, up 239.4% compared to the same period in 2023. The gross profit margin stood at an impressive 39%.
The company’s decision to grant such substantial bonuses is attributed not only to its record-breaking performance but also to the favourable taxation structure under Taiwanese law.
Payments such as year-end bonuses and profit-sharing are considered business expenses and are deductible from taxable income. This arrangement not only incentivises companies to reward employees generously but also aligns with their financial optimisation strategies.
Further, Evergreen Marine has benefitted from resilient freight rates and operational efficiency. Despite ongoing challenges in the shipping industry, including unresolved issues in the Red Sea region and escalating labour disputes on the US East Coast, the company remains optimistic about continued revenue growth in the first quarter of 2025.
As Evergreen Marine prepares for its upcoming annual shareholder meeting, the extraordinary bonuses underscore its commitment to sharing success with employees, a practice that has become a hallmark of the company.
