ONE aims for 2019 net profit of US$85m after losing $586m last year
WITH the teething problems now behind and a steadily improving performance through the year after a shaky first quarter, Ocean Network Express (ONE) expects to return to profitability in 2019
WITH the teething problems now behind and a steadily improving performance through the year after a shaky first quarter, Ocean Network Express (ONE) expects to return to profitability in 2019.
The trio of Japanese carriers, NYK, MOL and 'K' Line, sailing under the ONE flag said in a joint statement that it was targeting a net profit of US$85 million for 2019 after reporting a net loss of $586 in its first year in operation.
The three shipping lines will be happy to see the back of their first year of operation, during which merger setup costs and launch problems hurt earnings, reports IHS Media.
ONE expects container volume to increase steadily through the year.
The carrier is also tilting toward deeper logistics services beyond conventional ocean shipping, and although CEO Jeremy Nixon has said he has no plans to follow the integrated logistics approach being taken by Maersk Line and CMA CGM, ONE is planning to build on its terminal holdings in Asia, Europe, and Australia.
A new container terminal JV with PSA International in the carrier's operating headquarters of Singapore, for example, will give ONE greater control of its volume in the busiest transshipment port in Asia.