HMM Returns to Profit, Operating Loss Widens

Image Courtesy: HMM

The South Korean shipping company Hyundai Merchant Marine (HMM) has reported its net income for the second quarter of 2016 at KRW 215.9 billion (USD 195.2 million), compared to a net loss of KRW 165.7 billion seen in the same quarter a year earlier, due to the sale of assets and cash injections to maintain liquidity.

However, the company still saw a net loss at the end of the first half of 2016, which stood at KRW 60.1 billion, against a loss of KRW 210.2 billion recorded in the corresponding period of 2015.

HMM’s operating loss widened in the quarter to KRW 254.3 billion, while the half-yearly operating loss reached KRW 416.9 billion, against an operating loss of KRW 68.3 billion and KRW 68.2 billion reported in the corresponding periods in 2015, respectively.

The shipping firm completed all conditions set out in the voluntary agreement with creditors from March 2016 and in accordance with the completion of such preconditions, “the planned debt-for-equity swap by creditors will be executed as planned,” the company earlier said.

In July 2016, HMM signed a Memorandum of Understanding (MOU) to join the 2M Vessel Sharing Agreement (2M VSA) starting from April 2017, upon finalizing negotiations and approval procedures in each country.

Signed between HMM and the 2M carriers, Maersk Line and Mediterranean Shipping Company (MSC), the MOU is a binding agreement in regards to HMM’s entry to the 2M VSA.

The company signed the MOU following agreements with bond-holders to adjust debt and shipowners to adjust charter-hire.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2017 >>
MTWTFSS
30 31 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 1 2 3

Maritime Information Warfare 2017

Maritime Information Warfare will focus on the growing need for navies to develop their information exploitation capabilities…

read more >

INTERNATIONAL GREEN SHIPPING AND TECHNOLOGY SUMMIT

The Summit will gather key marine experts and companies around the globe which have a big influence in the industry…

read more >

The CWC 18th Annual World LNG Summit & Awards Evening

The CWC World LNG Summit will continue to give you access to premium networking opportunities as it brings together the who’s who…

read more >

Marintec China 2017

The largest maritime event in Asia Pacific, Marintec China connects maritime professionals from the entire shipbuilding supply chain together.

Over the years, Marintec China has grown to reflect the size and importance of the Asian maritime market. 2015 event is another record-breaking edition with the largest exhibition area and the highest number of industry professionals attending ever. The encouraging figures proven that China remains one of the major shipbuilding nations and Marintec China has been the most authoritative platform in Asia.

With the maritime industry facing great opportunities but also many challenges, it is important for the industry to connect and engage more to ultimately win new business in globally-significant markets. A visit to Marintec China is a great way to learn about the latest technology and innovation of the supply industry, a platform for industry professional to meet face to face, make connection and do business.

Marintec China is poised to be the definitive event and is undoubtedly a must-attend for all involved in the maritime industry.

Marintec China will be held from 5 to 8 December 2017 at the Shanghai New International Expo Centre in Shanghai, China and continue its dedication to serve as the “LEADING” platform “CONNECTING” the community and “STRENGTHENING” the maritime industry.

Marintec China offers the perfect opportunity for companies serving the maritime market to showcase their innovations, products and services to a wide audience. A platform for face to face meetings in business, creating new relationships and consolidating existing ones.

More info

read more >