Matson Navigation Q1 profit up 50 percent
Matson Navigation Co.’s first quarter profit from continuing operations rose to $8.1 million from $5.4 million a year earlier, boosted by improved Guam volume following competitor Horizon Lines’ exit from the trans-Pacific market, the Journal of Commerce reported.
Alexander & Baldwin, Matson’s parent, said its planned separation of Matson from A&B’s real estate and agriculture businesses is on track for early in the third quarter.
A&B said Matson’s improved Guam and trans-Pacific volumes offset a 4 percent decline in Hawaii volumes. The improvements were partly offset by higher vessel costs because of dry-docking, and increased terminal costs.
Matson’s first quarter operating profit excluded losses from the line’s discontinued CLX2 trans-Pacific service.
Operating profit from Matson Logistics decreased to $300,000 from $1.5 million, primarily because of lower highway volume and lower profitability from its warehousing business.
The logistics unit’s domestic intermodal business improved over the first quarter because of a 14 percent increase in volume, although results were partially offset by lower international intermodal performance because of the discontinuation of CLX2 and the loss of a major ocean carrier customer.