STX Pan Ocean (STX PO) widened losses in the third quarter as it continued to be impacted by low freight rates and high bunker costs, Seatrade Asia online reports.
The South Korea-based company registered a net loss of $88.59m in the quarter ended 30 September 2012 compared to a loss of $37.43m in the same period of last year.
Revenue during the quarter dipped 4.3% year-on-year to $1.19bn, STX PO announced on Wednesday.
STX PO believes that the cyclical shipping market is at or passing the bottom of the cycle. “Oversupply (of ships) is likely to be relieved as slow steaming still has a big potential and scrap market will be stimulated by more expensive regular maintenance and more environmental regulations, while restricted access to finance will lead to a slippage and slowdown in ordering/delivering,” the company said.
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