Modest Volume Rise Fails to Counter OOCL’s Revenue Drop

Hong Kong-listed Orient Overseas Container Line (OOCL) saw a total volume rise of 4.2% in the first quarter of 2016 ended 31st March 2016, when compared to the same period last year.

The worst hit was the company’s Asia to Europe trade with a 11.1 percent drop in volumes and 36.3 percent fall in revenue from USD 176,335 to USD 276,842.

OOCL’s recorded a rise in volume in all other trades  lead by Trans-Pacific with 12.4 percent rise, Trans-Atlantic with 10.8 percent rise and Intra-Asia-Australasia with 5.3 percent increase.

However, the volume rise did not suffice for the same impact on the revenue as OOCL’s total revenues for the period decreased by 17.1% to USD 1,113.8 million, the company said.

Based on the company’s figures, the total average revenue per teu decreased by 20.4% compared to the first quarter of last year.

The group reported a profit attributable to equity holders for 2015 of USD 283.9 million, compared to a profit of USD 270.5 million in 2014.

Announcing its full year results, the company said that it expects the great uncertainty in the container shipping industry seen in the first quarter to resume throughout the year amid reduced global economic growth forecast and anticipated entrance of new shipping capacity into the global fleet.

One of the steps being taken by OOCL to brave the market storm has included signing of a Memorandum of Understanding to form a new alliance, the Ocean Alliance, with container shipping majors CMA CGM, COSCO Container Lines and Evergreen Line.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2018 >>
MTWTFSS
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 2

Offshore Wind Europe 2018

The Offshore Wind Europe speaker line-up is supported by executives who are leading the charge…

read more >

Europort 2018

From 15-17 May 2018, the 12th edition of Europort Romania willl take place in the IDU Hall in Constanta…

read more >

Petrochemical Supply Chain & Logistics Conference & Exhibition

The Petrochemical Supply Chain & Logistics Conference & Exhibition (15 – 16th November, Houston) is positioned at the forefront of the booming Petrochemical industry in North America.

This industry leading event is regarded as the most significant meeting place for supply chain & logistics professionals, where they meet to do business.

More Info

read more >

DREDGING FOR SUSTAINABLE INFRASTRUCTURE

The two-day-long programme offers six highly interactive sessions with contributions from…

read more >