Lower freight rates pushed STX Pan Ocean's third-quarter losses attributable to equity-holders to US$88.6 million, deepening from the $37.4 million recorded last year, reported Business Times Singapore.
This took the shipping and logistics group into nine-month losses totalling $276.8 million from $66 million in the same period last year.
STX Pan Ocean, which does bulk, container and energy shipping, saw turnover in the third quarter slip four percent to $1.19 billion from $1.24 billion year-on-year, while nine-month turnover declined 8.4 per cent to $3.53 billion from $3.86 billion.
STX Pan Ocean noted that dry bulk shipping rates have been affected by oversupply. "Huge delivery is the main reason for the current bearish market," it said, noting 989 bulk carriers were delivered from January to September 2012, up 9.3 per cent from the same period in 2011.
However, it believes "we are at or passing the bottom of the cycle. A shipping company which has been well-experienced with long history will be able to find opportunities to recover despite tough times".
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