Total 193 Posts
Wan Hai reported its largest quarterly net loss at $70m in the first quarter of 2023, with losses at the gross profit level and operating cashflow level. Wan Hai has reduced its capacity exposure to Transpacific trade from 35% to 25% of its total capacity operated in the first quarter, with most of the reductions in the FE-WCNA route where capacity utilization has declined. Wan Hai's revenue dropped 71% YoY, the deepest YoY drop among the liners that have reported their first quarter perform
YMM put out its preliminary financial data after market on 12 May and then gave the full quarterly disclosure on 15 May. Profit attributable to shareholder down 95% YoY to a level similar of those seen in the long trough cycle before 2020.
Taiwanese liners' April revenue fell 5% MoM after a 1-month rebound in March. The decline in these liners' revenue start to mirror that magnitude of the fall in CCFI.
Hapag Lloyd reported before European market open today (11 May) where net profit dropped 38% QoQ and 57% YoY. The drop should be expected but fared better than the liner peers that have reported so far. Hapag Lloyd's average freight rates fell only 28% YoY versus CCFI's 68% YoY, benefited by Hapag Lloyd's higher mix in Transatlantic trade, which is not a composite in the CCFI. Hapag Lloyd EBIT at 31% in 1Q23, is better than all the other peers reported so far.
NYK and K-Line also reported beginning of this week where both operators guided the 91-92% YoY drop in the earnings from their container liner activities, in line with what MOL guided. Japanese shipping companies have the longest track record in guiding forward container liner earnings, dating back to 2005-2007. Of the 16 years where all three Japanese shipping companies have guided container liner earnings, the actual earnings beat guidance in 8 years. Their actual earnings tend to track bel
Maersk reported result before market today (4 May) where earnings fell hard as expected but $2.6bn at bottom line is still better than any quarters before 2021. Full year guidance stay unchanged, suggesting the EBIT for the next 3 quarters will range between negative $561mn or $2,4bn, which is a very wide range comparing to Maersk's track record before 2021. $2.4bn for 3 quarters would still be very good earnings while negative $561mn would be the worst ever. Maersk Line's unit revenue (total
COSCO provided full 1Q results after market on Friday (28 April) in addition to the EBIT, Net Profit figures already provided in an alert on 4 April. In the new disclosure, operating expenses in A-share accounting fell by 41% YoY while the volume fell by only 12% YoY. In our estimate, COSCO slot costs (annualised opex/capacity) fell 47% YoY in 1Q23. We will compare COSCO’s OPEX with the industry peers when more peers’ figures are available.
ONE reported its 4Q earnings for fiscal year 2022, which is 1Q23 on calendar year, during lunch break last Friday (28 Apr) with net profit down 56% QoQ and 76% YoY. Though, such quarterly results were still better than any quarter before 2021. The average unit revenue earned by ONE fell just 38% YoY whereas CCFI dropped 68% YoY as ONE likely benefited from higher contract mix and more diversified route mix than the CCFI, which is based on all China origin cargoes. ONE management has not prov
UPS share price dropped by 10% overnight (Apr 26) on bearish management guidance particularly on the domestic package, which offers a read-through to the demand for container shipping. On what may indicate the latest development of US retail sales, UPS's domestic package volume dropped 5% YoY in 1Q 2023, an acceleration from the 4% YoY drop in the previous quarter. Moreover, management in an CNBC interview suggested that the decline in the domestic package volume accelerated markedly during Ma
K&N reported yesterday (25thApr). The YoY drop in revenue, profit and volume in the group results, and the sea and air segment are no surprises. But the sequential rebound in EBIT/GP conversion rate for Sea Logistics was exceptional given the deterioration of the container shipping market during 1Q 2023. One reason that we figure was that the drop in the freight rates in contracts between K&N and the liners may have come steeper than the drop in spot rates that K&N is selling to the market durin