MOL prepares for another tough year

2009-4-30

MOL said it had net profit of 127 billion yen ($1.3 billion) in its fiscal year ending March 31, a 33 percent decline from the prior year.

The Japanese shipping line said it expected further declines in profit this year, but that it assumed the market would begin to show some recovery this summer.

Revenue for the fiscal year was 1.86 trillion yen ($19 billion), a 4 percent decline from the prior year. Revenue from containerships dropped 7 percent to 641 billion yen ($6.6 billion).

The company said it "laid up surplus vessels to reduce space and offset the fall in cargo trade, including that on the major Asia/North America (eastbound) and Asia/Europe (westbound) routes. We also took action to minimize losses on routes where competition is intense and profitability difficult or impossible to achieve, including discontinuing some services such as the Asia/Black Sea service."

The company said volume on Asia-to-North America eastbound routes declined 10 percent.

Looking forward, the company forecast a further 25 percent drop in revenue and 68 percent drop in profit this year.

"Ocean shipping markets for dry bulk ships, tankers and containerships have slowed down in step with the global economic downturn, but China's economic index in particular is showing signs that the slump has bottomed out," the company said in a statement.

"We assume that the market will show a degree of recovery starting in the summer of 2009. In addition we plan to push forward with our group-wide 40 billion yen cost reduction efforts and ensure stable long-term profits."

Source: americanshipper
 Related>>
  UPS picks up market share in Asia as revenue falls 2009-4-28
  Kale revenue up 19% in 2009 2009-4-28
  Delta to ground entire B747-200 fleet 2009-4-24
  Kenyan port to put start RFID box tracking 2009-4-24
  NS records lower profit, revenue 2009-4-23
  Port operator suffers from decline in trade flows 2009-4-20
  MOL drops China-South America plan, revises PIL joint loop instead 2009-1-21
  MOL opens Jacksonville terminal 2009-1-20
  MOL folds two loops into one west coast Latin America service 2009-1-12
  Global financial credit crises will prevent over-tonnage 2009-1-8
 


Chinese      -      About Us      -      FAQ     -     Contact Us     -      Site Map    -     Newsletter     -     Links     -     Privacy Policy     Terms of Use
Copyright Notice © 2000-2010 JCtrans Technology Co., Ltd. All rights reserved.