Jinhui Shipping Predicts Bad Fortune for 2015 Results

Due to record-low freight rates in the dry bulk shipping market, the Hong Kong-based marine transportation company Jinhui Shipping and Transportation Limited expects to record a wider net loss for the fourth quarter and year ended 31 December 2015, compared to a year earlier.

“Year 2015 was another tough year for dry bulk shipping market, with drastic confidence crisis in the final quarter stimulated by the reverse of the U.S. interest rate cycle marking the end of the quantitative easing era, the deeper than expected slowdown of the China’s economic growth, ambiguous currency policies, and a meltdown in commodities prices from metals to oil all occurring in a synchronized manner,” Ng Siu Fai, Jinhui Chairman said in a statement.

The company said that the expected net loss for the fourth quarter of 2015, would be largely attributable to the substantial impairment loss on certain owned vessels, while the net loss for 2015, would be due to the combined effect of the impairment loss on certain owned vessels, the weak spot freight market, and the abrupt correction of global stock markets in late 2015 which caused a net loss of approximately USD 19 million on the company’s investments.

According to Jinhui, the net loss included both realized loss on trading transactions and unrealized fair value loss on these securities instruments and would have a negative impact to the consolidated operating results for 2015. The company does not expect the market situation to improve any time soon.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Jun 2019 >>
MTWTFSS
27 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

Eastern Mediterranean Offshore Conference and Exhibition (EMC) 2020

EMC 2020 conference will arm delegates with technical and commercial knowledge to capitalise…

read more >

2nd GREENTECH IN SHIPPING GLOBAL FORUM

Forum you will find out from the regulators, government bodies and major ports’ representatives what the near…

read more >

Belgian Offshore Days 2020

During this event, a conference will be held with focus on “Increasing value by data driven innovation…

read more >

7th Annual Arctic Exchange

Every year the Exchange invites delegates from across the globe to come together to listen to key senior management teams…

read more >