Hanjin¡¯s Loss Deepens |
Release Time:2009.11.16 |
|
Low trans-Pacific freight rates, higher oil prices lead to red ink
Hanjin Shipping¡¯s quarterly net loss deepened to $338 million in the third quarter ended Sept. 30 from a loss of $329 million in the second quarter as the operating losses grew large in both the carrier¡¯s divisions.
The South Korean carrier¡¯s 2009 results compare with a net profit of $26.8 million in the third quarter of 2008.
Revenue increased by 10.7 percent on a quarter-to-quarter basis to $1.44 billion from $1.3 billion in the second quarter. But third qua-rter-revenue was down from $1.8 billion in the third quarter of 2008.
Container volume increased 18.6 percent to 914,531 20-foot equivalent units compared to the previous quarter as peak season dem-and picked up. Container revenue increased 11.8 percent from the second quarter to $1.14 billion mostly due to the increase in the A-sia-Europe volume and higher freight rates.
Bulk revenue increased 7 percent sequentially to $296 million in the third quarter, which the carrier attributed to increased cargo volu-me from the addition of a new ship.
The container division posted an operating loss of $177 million because of low freight rates on the trans-Pacific and higher oil prices.
The bulk division had an operating loss of $22 million in the third quarter, which Hanjin attributed to deteriorating profitability of its tim-e-chartered vessels during the industry-wide downturn.
Hanjin Shipping said it forecasts that despite the traditional slack season in the container market, it continues to believe that rate rec-overy attempts in the Europe lanes and bunker adjustment charges in the trans-Pacific lanes will yield positive results.
The company said it hopes for improved sales performance in the bulk division in the fourth quarter as a result of the expected increa-se in demand of iron ore, coal and agricultural products and stronger industry sentiment.
|
|
|
|
|
|
