HMM net losses narrow in 2019 with increased sales
SOUTH Korea's biggest shipping company by sales, Hyundai Merchant Marine (HMM) has announced in a regulatory filing that that its net losses narrowed to KRW592 billion (US$501 million) last year from KRW790 billion in 2018
SOUTH Korea's biggest shipping company by sales, Hyundai Merchant Marine (HMM) has announced in a regulatory filing that that its net losses narrowed to KRW592 billion (US$501 million) last year from KRW790 billion in 2018.
Operating losses also narrowed to KRW304 billion in 2019 from KRW558.6 billion a year ago. Sales rose 5.6 per cent to KRW5.51 trillion in 2019 compared to the previous year, the company said.
The shipping company has been mired in operating losses since the second quarter of 2015. Hyundai Merchant said its business performance in 2019 was mainly driven by rationalising its service network as well as maximising utilisation of five new very large crude carriers, according to South Korea's Yonhap News Agency.
The South Korean shipper said its profitability could improve this year as a result of new cooperation with THE Alliance and the deployment of twelve 24,000-TEU container ships.
HMM said it 'will continue to secure global competitiveness through enhancing operational efficiency, strengthening cost-saving efforts and establishing customer-oriented solutions.'
Hyundai Merchant has said its 12 container ships in the 24,000-TEU class are to operate in order starting in April on a route connecting Asia and Europe.
In April, the shipping company is set to join of THE Alliance, one of the world's top three shipping alliances along with 2M Alliance and Ocean Alliance. It has been serving as a strategic partner for 2M Alliance operated by Maersk Line of Denmark and Mediterranean Shipping Co of Switzerland since April 2017, but their partnership is set to expire in March.