Yang Ming Marine Transport (TSE: 2609) narrowed its first quarter 2019 loss thanks to higher volumes of container shipments.
The Taiwanese liner operator reported first quarter revenue of $1.14 billion, up 5 percent from a year earlier. The company’s net loss, after tax was $22 million in the first quarter, compared to a $67 million loss reported in the first quarter of 2018.
Container volume of 1.29 million twenty-foot equivalent units (TEU) was also up 5 percent year-over-year.
“Despite the traditional slack season in the first quarter and the rising operating cost resulting from the 11 percent increase in oil prices compared to last year, Yang Ming has cut down its losses,” the company said in a statement. “The financial report has shown continued year-on-year growth in both volume and revenue.”
Analyst firm Alphaliner recently forecasted a growth in supply at 3.1 percent with demand rising at 3.6 percent for 2019. Yang Ming said the outlook “signals an improving supply-demand market.”
It said the company’s fleet of new vessels is “well prepared to meet with the upcoming IMO [International Maritime Organization] 2020 low-sulfur regulations.”
