China Shipping Container Lines Co. rose the most in six months and Shanghai International Port (Group) Co. surged after the central government approved a Shanghai sea-cargo stimulus plan.
China Shipping Container, the nation’s second-biggest cargo-box carrier, jumped 10 percent in Shanghai, its hometown, to 3.98 yuan. Shanghai Port, operator of the city’s harbor, also climbed by the 10 percent daily trading limit to 4.94 yuan.
China’s State Council approved moves designed to boost trade in Shanghai, including tax cuts for exporters, according to a statement on the central government’s Web site. Shanghai, home to the world’s second-busiest container harbor, drew up the plans after 2008 cargo-box traffic grew at the slowest pace in almost 20 years.
Mainland-listed “shares always rise whenever the government announces a new stimulus plan,” said Jack Xu, a Sinopac Securities Asia Ltd. analyst in Shanghai.
Shanghai Zhenhua Port Machinery Co., the world’s biggest maker of quayside cranes, gained 6.9 percent to 11.48 yuan. In Hong Kong trading, China Merchants Holdings International Co., which owns a stake in Shanghai Port, jumped 10 percent to HK$19.48. China Shipping Container rose 9.7 percent to HK$1.47.
“We are in Shanghai and are able to get the government’s help,” China Shipping Container Chairman Li Shaode told reporters in Hong Kong today.
CSCL Earnings
The container line slumped to its first loss since listing in 2004 in the second half of last year as European and U.S. consumers pared spending on Asian-made goods. The 594.2 million yuan ($87 million) net loss compared with a 2 billion yuan profit a year earlier, based on full-year results announced today.
Neptune Orient Lines Ltd., Southeast Asia’s biggest container line, has also posted a loss as shipping lines lay up vessels and fire staff in a bid to cut costs. Still, rates remain at unprofitable levels because of weak demand and new ships entering service.
“China Shipping is very likely to have a loss this year,” said Xu. “It’s highly exposed to Asia-Europe and Asia-American routes.”
China Shipping Container’s 2008 profit plunged 99 percent to 43 million yuan, the company said in a Hong Kong stock exchange statement. That compares with the 443.4 million yuan average of seven analyst estimates complied by Bloomberg. Sales dropped 11 percent to 34.76 billion yuan.
The container line didn’t propose a final dividend.
China Shipping Container, the nation’s second-biggest cargo-box carrier, jumped 10 percent in Shanghai, its hometown, to 3.98 yuan. Shanghai Port, operator of the city’s harbor, also climbed by the 10 percent daily trading limit to 4.94 yuan.
China’s State Council approved moves designed to boost trade in Shanghai, including tax cuts for exporters, according to a statement on the central government’s Web site. Shanghai, home to the world’s second-busiest container harbor, drew up the plans after 2008 cargo-box traffic grew at the slowest pace in almost 20 years.
Mainland-listed “shares always rise whenever the government announces a new stimulus plan,” said Jack Xu, a Sinopac Securities Asia Ltd. analyst in Shanghai.
Shanghai Zhenhua Port Machinery Co., the world’s biggest maker of quayside cranes, gained 6.9 percent to 11.48 yuan. In Hong Kong trading, China Merchants Holdings International Co., which owns a stake in Shanghai Port, jumped 10 percent to HK$19.48. China Shipping Container rose 9.7 percent to HK$1.47.
“We are in Shanghai and are able to get the government’s help,” China Shipping Container Chairman Li Shaode told reporters in Hong Kong today.
CSCL Earnings
The container line slumped to its first loss since listing in 2004 in the second half of last year as European and U.S. consumers pared spending on Asian-made goods. The 594.2 million yuan ($87 million) net loss compared with a 2 billion yuan profit a year earlier, based on full-year results announced today.
Neptune Orient Lines Ltd., Southeast Asia’s biggest container line, has also posted a loss as shipping lines lay up vessels and fire staff in a bid to cut costs. Still, rates remain at unprofitable levels because of weak demand and new ships entering service.
“China Shipping is very likely to have a loss this year,” said Xu. “It’s highly exposed to Asia-Europe and Asia-American routes.”
China Shipping Container’s 2008 profit plunged 99 percent to 43 million yuan, the company said in a Hong Kong stock exchange statement. That compares with the 443.4 million yuan average of seven analyst estimates complied by Bloomberg. Sales dropped 11 percent to 34.76 billion yuan.
The container line didn’t propose a final dividend.