SINGAPORE's Samudera Shipping Line was back in the black in the first quarter with a gross profit of US$4.3 million - after last year's quarterly loss of $394,000 - drawn on revenues of $86.2 billion, down 10.5 per cent.
"Revenue for the container shipping business decreased 7.9 per cent to $71.5 million on lower than average freight rates. Container volume handled recorded a modest increase to 300,000 TEU as a consequence of recent efforts at restructuring," said the company statement.
"Operating conditions for the container shipping segment are expected to remain challenging in view of prevailing competition," the company said.
"The group is exploring opportunities to grow its container shipping business beyond the region, and will strive to optimise fleet utilisation and operational efficiency by restructuring its services, rationalising non-performing routes and exploring win-win partnership opportunities with other industry players," said the company statement.
Samudera said it has taken steps to restructure its services by downsizing its operations on non-performing routes.
"With the expiry of long-term vessel charters in contracts, the group will benefit from the lower cost of renewal. The group will be taking the opportunity to review its fleet composition," said the company statement.
"The group's non-container fleet remains gainfully deployed. Spot and time charter rates are showing signs of an up trend. Income from third party vessels operations and management services are expected to continue to contribute positively," the statement said.
WORLD SHIPPING
27 April 2014 - 20:56
Samudera back in black, but container shipping business declines 10.5pc
SINGAPORE's Samudera Shipping Line was back in the black in the first quarter with a gross profit of US$4.3 million - after last year's quarterly loss of $394,000 - drawn on revenues of $86.2 billion, down 10.5 per cent.
WORLD SHIPPING
27 April 2014 - 20:56
Samudera back in black, but container shipping business declines 10.5pc
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