HORIZON Lines posted a 493 per cent third quarter net profit increase to US$9.5 million, drawn on revenues of $286.2 million, up 4.6 per cent.
However, for the first nine months of the year the US Jones Act carrier posted a loss of $19.3 million.
The company attributed the rise in third quarter revenue to an 8.9 per cent year on year to increased volumes, which reached 64,304 revenue loads, reported Lloyd's List.
Profits were up in the third quarter on the back of lower claims-related expense and lower fuel and labour costs associated with dry docking.
Lower freight rates pushed down unit revenue per container to $4,019 in the third quarter compared with $4,236 a year ago.
"A $12.5 million or 4.6 per cent improvement in operating revenue versus the third quarter of 2013 was generated largely by an 8.9 per cent revenue container volume increase," said CEO Steve Rubin.
"In addition, we experienced growth in non-transportation services revenue in our Hawaii and Alaska markets," he said.
"These favourable variances were partially offset by a 5.1 per cent decrease in average revenue per container. The decline in our container rates was primarily due to a shift in cargo mix mainly to include more automobiles and increased competition in our markets."
WORLD SHIPPING
01 November 2014 - 06:23
Horizon's 493pc Q3 profit gain softens 9-month US$19.3 million loss
HORIZON Lines posted a 493 per cent third quarter net profit increase to US$9.5 million, drawn on revenues of $286.2 million, up 4.6 per cent.
WORLD SHIPPING
01 November 2014 - 06:23
Horizon's 493pc Q3 profit gain softens 9-month US$19.3 million loss
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