TAL INTERNATIONAL, a major lessors of intermodal freight containers and chassis, posted 100 per cent year-on-year increase in second quarter profit to US$33.1 million drawn on revenues of $120.2 million, up 37.6 per cent, Shipping Online reports.
More than $700 million invested in new containers resulted in 75 per cent on-hire or committed to lease transactions, thus doubling leasing revenue during the quarter year on year. Utilisation averaged 98.6 per cent during the quarter, said president and CEO Brian Sondey.
"Sale prices for used containers continued to increase during the second quarter, leading to exceptionally high gains on our used container disposals, and our leasing revenue continued to increase strongly," he said.
Despite container leasing market fundamentals remaining strong, peak-season trade volumes have so far been less than many of our customers had anticipated, he said, and although its forecast is favourable for the rest of the year, "new container prices remain historically high, and we expect most of our customers to remain cautious about placing large orders."
The Purchase, New York-based company has 992,000 containers and related equipment totalling 1,621,000 TEU. This places TAL among the world's largest independent lessors of intermodal containers and chassis as measured by fleet size, said the company.
More than $700 million invested in new containers resulted in 75 per cent on-hire or committed to lease transactions, thus doubling leasing revenue during the quarter year on year. Utilisation averaged 98.6 per cent during the quarter, said president and CEO Brian Sondey.
"Sale prices for used containers continued to increase during the second quarter, leading to exceptionally high gains on our used container disposals, and our leasing revenue continued to increase strongly," he said.
Despite container leasing market fundamentals remaining strong, peak-season trade volumes have so far been less than many of our customers had anticipated, he said, and although its forecast is favourable for the rest of the year, "new container prices remain historically high, and we expect most of our customers to remain cautious about placing large orders."
The Purchase, New York-based company has 992,000 containers and related equipment totalling 1,621,000 TEU. This places TAL among the world's largest independent lessors of intermodal containers and chassis as measured by fleet size, said the company.