HMM Cuts Operating Loss

Image Courtesy: HMM

South Korean shipping company Hyundai Merchant Marine (HMM) posted an operating loss of KRW 131.2 billion (USD 117 million) in the first quarter this year, narrowed from the previous year’s KRW 163 billion, according to the company’s stock exchange filling. 

Furthermore, the shipping company’s sales were up by 13.6 percent standing at KRW 1.302 trillion when compared to the corresponding period from last year.

During the quarter, HMM’s containerships handled 958,000 twenty-foot equivalent (TEU) containers, a 37 percent increase year-on-year, with markets in North America and Asia recording the biggest spikes, 41.4 percent and 62.4 percent respectively.

“Although the bunker costs have risen 59.2 percent year-on-year, HMM has improved its profit and loss status as its container shipping business has increased sales and it has focused on reducing costs,” the company said.

According to the company’s CEO Yoo Chang-keun, cited by Yonhap news agency, the company’s performance is expected to further improve in the third and fourth quarters of the year.

2017 Q1 sales: KRW 1,302,500 million (USD 1,128 million)▶ 13.6%↑ compared to 16’ Q1 & 3%↑ compared to 16’ Q4 in terms of USD
2017 Q1 operating loss: KRW 131,200 million ▶ improved KRW 3.15 million compared to 16’ Q1 & improved KRW 5.49 million compared to 16’ Q4

The results come following HMM’s recent strategic investments into new terminal operations and newbuilding tonnage.

Namely, just last week HMM reached an agreement to buy a 100 percent stake in Spain’s Total Terminal International Algeciras (TTIA), earmarking around USD 104.1 million for the stake in the terminal.

The company also decided to avail of the low newbuilding prices last month and ordered five 300,000 dwt very large crude carriers (VLCCs) from the compatriot Daewoo Shipbuilding & Marine Engineering (DSME) with an option of five more vessels.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>


<< Feb 2018 >>
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 1 2 3 4

Shipping 360

This course is ideal for those who have recently joined the maritime sector and those who need to have a better understanding…

read more >


27 years in the making, APM is the premier shipbuilding & marine, workboat and offshore exhibition in Asia trusted by generations of industry professionals.

read more >

Shippax Ferry Conference 2018

The two-day onboard ferry conference was first organized in 2003 and grows ever more popular with some 400 delegates from over 40 ferry…

read more >

8th Dredging & Land Reclamation World Summit 2018

The 8th Dredging and Land Reclamation Summit 2018 will gather the decision makers from Authorities and Operators responsible for ports…

read more >