MOL BRINGS LINER SHIPPING BACK TO THE BLACK
Mitsui O.S.K. Lines said that a return to profitability
of its liner shipping division helped boost its results for the six-month period ended
Sept. 30.
Non-consolidated operating income rose by 29 percent in the latest
period, to Yen15.1 billion ($143 million), from Yen11.9 billion in April-September 1998.
Net income increased by 32 percent, to Yen5.8 billion ($54 million),
from Yen4.4 billion in the corresponding period of last year.
Revenue in the latest six-month period was Yen329.6 billion ($3.1
billion), compared to Yen305.2 billion in the same period of last year.
The results were the first since MOL took over bulk shipping operator
Navix Line Ltd. in April.
Liner shipping generated about 42 percent of group revenue in the
latest period, compared to 48 percent in April-September of last year.
MOL said that it has brought its liner operations back into profits
thanks to freight rate restoration measures, particularly in the transpacific trade, where
eastbound traffic volumes were strong.
The company’s "tramp and specialized carrier" bulk shipping
division reported a deterioration in results. Tanker operations’ results worsened in the
latest six-month period, but liquefied natural gas shipping activities, protected by
long-term contracts achieved improved results.
MOL predicted that it would report a lower net profit for the entire
fiscal year due to end on March 31, 2000.