Hanjin Shipping box arm returns to black
HANJIN Shipping"s container business returned to the black, helping the South Korean company post a sterling set of first-half financial figures today.
Net profit at the country"s largest shipping company soared 166.3% in the January to June period to Won46.6bn ($45.8m).
Revenue rose 32.8% to Won4.23trn and operating profit was more than six times higher at Won207.2bn.
Hanjin"s container business witnessed a welcome return to profitability with an operating profit of Won52.3bn after suffering a loss of Won3bn in the same period last year.
Not surprisingly, and in line with the market, Hanjin"s bulk business showed the greatest improvement. Sales in the sector increased 97.3% to Won1.23trn. Operating profit rocketed 354.3% to Won154.9bn. The bulk business accounted for 24% of the company"s business, up from 16% in the first half of 2007.
?Despite the slowdown in the US economy and slower growth in overall Asia-Europe trade, an increase in the transpacific westbound cargo volume and the application of a the floating bunker charge led to a positive result,? Hanjin said.
Looking to the second half of the year, Hanjin said, ?Although we expect the transport cargo volumes to grow as we enter the annual peak season, we will concentrate all our efforts in achieving our 2008 targets by rationalizing our services and improving cost control throughout our organization.?
Source: Mike Grinter-Hong Kong