WILH. WILHELMSEN SEES PROFIT RECOVERY IN 2ND QUARTER

WILH. WILHELMSEN SEES PROFIT RECOVERY IN 2ND QUARTER

   Wilh. Wilhelmsen ASA, the 50-percent parent company of Wallenius Wilhelmsen Lines, reported an improvement in profit results for the second quarter, with a net income of $19 million, in contrast with a net deficit of $4 million in the first quarter.

   The $19 million profit for the latest quarter compares with a net income of $9 million in the second quarter of 1999.

   “The liner and car carrier business pursued by Wallenius Wilhelmsen Lines made progress during the second quarter, while results for Barwil clearly improved,” Wilh. Wilhelmsen said. Barwil Agencies is the group’s international ship agency arm.

   The Scandinavian group reported an operating income of $30 million for the second quarter, up from $14 million in the same quarter of 1999.

   Revenue for the latest quarter was $232 million, 25 percent more than the $185-million revenue figure for the year-earlier period.

   For the first six months of the year, Wilh. Wilhelmsen earned a net income of $15 million, up from $14 million in the first half of 1999.

   Operating income was $28 million, as compared to $23 million a year earlier.

   Revenue for the first six months was $434 million, 18 percent more than the $368-million in revenue reported for the first half of 1999.

   Wilhelmsen and Wallenius merged their liner, roll-on/roll-off and car carrier shipping operations into Wallenius Wilhelmsen Lines business in July 1999.

   Wilhelmsen has wound up its Wilship bulk shipping division, following the sale in March of its two large tankers to Frontline. The group’s remaining chartering and Wilsea Shipping Inc. businesses were transferred from Wilship to the corporate head office.

   Wilhelmsen said that the group’s future results depend to a significant degree on developments in the car-carrier and ro-ro market.

   “Although results have improved so far this year, the outlook remains uncertain,” the group said. “That applies primarily to the car-carrying market, where surplus capacity exists in certain trades. The outlook for the ro-ro market is positive in most trades,” it added.