Container shipping and logistics group Neptune Orient Lines, NOL, has swung into the black in the second quarter, with a net profit of US$100 million. That's a turnaround from a net loss of US$146 million in the second quarter of 2009.
Revenue over the period increased 53 per cent to US$2.1 billion , on strong container shipping volumes and improving freight rates.
The improvement was led by its container shipping unit, APL, which reported a 54 per cent increase in revenue to US$1.9 billion.
Revenue for APL Logistics also rose, registering a 45 per cent jump to US$282 million.
APL President Eng Aik Meng says the firm's vessels were effectively full during much of the first half of this year, even though it reintroduced idled vessels to its network and added incremental capacity.
He added that in the second half, the firm will continue to emphasize operational efficiency and service reliability to meet the needs of its customers.
NOL says it will not pay an interim dividend to shareholders but added that it will consider a final dividend to be paid based on its current policy of paying an annual dividend of 20 per cent of net profits after tax.