JAPAN's No 2 container shipping line, NYK, posted a 0.3 per cent year-on-year net profit increase, somewhat spoiled by an antitrust fine in the nine months ending December 31, to total US$268 million, a sum were drawn from revenues of $16.8 billion, which rose 14.4 per cent.
NYK found that the container shipping market conditions remained weak due to strong pressure of supply on the back of the completion and deployment of new ultra large box ships.
"On transpacific routes, thanks to a favourable US economy, demand capacity transitioned steadily, resulting in a comparatively favourable freight rate," said the NYK statement.
"However additional expenses were caused by the unexpected shortage of tonnage because of the impact of port congestion on the west coast of North America," said NYK.
"In regard to services, the G6 Alliance expanded its collaboration on transpacific and transatlantic routes to further rationalise and enhance the network," said the release.
NYK also said the company made efforts to reduce costs, returning unprofitable ships and introducing fuel-efficient systems.
Looking forward, the company said personal consumption in the US was improving steadily due to recovery in employment and housing markets.
"We observed some signs of expansion in exports and improvement in capital investment in Europe, however the risk of deflation still remains and the uncertain economic environment continued," said NYK.
"Marine cargo movement increased on the whole in the shipping industry and although unit costs for fuel oil fell, deep-rooted pressure on supply capacity remained and the severe business environment remained," said the statement.
WORLD SHIPPING
31 January 2015 - 00:06
NYK profit spoiled by anti-trust ruling, but revenues rise 14.4pc
JAPAN's No 2 container shipping line, NYK, posted a 0.3 per cent year-on-year net profit increase, somewhat spoiled by an antitrust fine in the nine months ending December 31, to total US$268 million, a sum were drawn from revenues of $16.8 billion, which rose 14.4 per cent.
WORLD SHIPPING
31 January 2015 - 00:06
NYK profit spoiled by anti-trust ruling, but revenues rise 14.4pc
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