Japanese carrier Mitsui O.S.K. Lines said its profit plunged 90 percent for its fiscal year ended March 31, but income from its bulk carrier division offset losses from container shipping.
MOL reported net profit of $137.5 million as revenue shrank 27.7 percent to $14.5 billion. The biggest drag on profit was container shipping, which posted a $603 million loss on a 31.9 percent drop in revenue to $4.97 billion.
The company said the losses have narrowed in recent months because of rising freight rates, improved capacity utilization and cost-cutting, and the recovery is continuing.
The carrier’s bulk shipping division, which accounts for about three-fifths of group revenue, suffered a 27.8 percent decline in revenue and a 68.6 percent drop in ordinary income but posted a $710 million profit.
“Although dry bulkers secured stable profits, revenues and profits decreased compared to the previous fiscal year which enjoyed favorable market conditions prior to the Lehman Shock,” MOL said in a statement.
MOL reported net profit of $137.5 million as revenue shrank 27.7 percent to $14.5 billion. The biggest drag on profit was container shipping, which posted a $603 million loss on a 31.9 percent drop in revenue to $4.97 billion.
The company said the losses have narrowed in recent months because of rising freight rates, improved capacity utilization and cost-cutting, and the recovery is continuing.
The carrier’s bulk shipping division, which accounts for about three-fifths of group revenue, suffered a 27.8 percent decline in revenue and a 68.6 percent drop in ordinary income but posted a $710 million profit.
“Although dry bulkers secured stable profits, revenues and profits decreased compared to the previous fiscal year which enjoyed favorable market conditions prior to the Lehman Shock,” MOL said in a statement.