CSCL Warns of Loss

China Shipping Container Lines (CSCL) has issued a profit warning announcing an expected loss of RMB 2.8 billion (USD 425 million) for the financial year ending December 31st.

CSCL said that out of this amount RMB 2 billion is attributed to an operating loss and RMB 800 million to impairment on assets.

The results resume the trend recorded in the first half of the year when CSCL recorded a steep decline in profit with 97.5 % fall in earnings when compared to 2014 results.

The company believes that the loss is a reflection of a market downturn and low freight rates in the container industry along with a slowdown in Chinese economic development.

What is more, owners continued to add capacity to the already oversupplied market pushing rates even further down.

As there is a slight chance of market recovery any time soon, CSCL believes that there are signs of impairment on vessels and containers assets of the company as off 31 December 2015 as well.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2019 >>
MTWTFSS
28 29 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

Maritime Reconnaissance and Surveillance Technology

As varied threats in the Mediterranean Sea continue to proliferate, the need to advance…

read more >

CrewConnect Global 2019

CrewConnect Global is the leading forum for collaboration to advance new industry approaches to seafarer recruitment and training.

read more >

CruiseConnect Global 2019

Attend CrewConnect Global and stay on for the CruiseConnect Summit to take part in an industry-wide conversation focused…

read more >

CWC World LNG Summit & Awards Evening

The CWC World LNG Summit & Awards Evening will be returning to Rome in 2019 to celebrate it’s 20th year.

read more >