'K'Line sees net income grow to US$217 million for 1Q fiscal 2007
"K" LINE has reported that for the first quarter of fiscal 2007 from April 1 to June 30 consolidated net income amounted to JPY25.80 billion (US$216.73 million), up by JPY16.10 billion.
Operating revenues rose by JPY56.91 billion to JPY309.17 billion. Operating income amounted to JPY36.05 billion, up by JPY25.97 billion.
In the containership business tonnage movements increased 18 per cent year on year despite a decline in cargo movements of housing related products on the Asia-North America services.
Overall cargo movements on the European services grew by 20 per cent, after the company strengthened its Europe trade routes by deploying 8,000-TEU vessels
Freight rates showed recovery backed up by strong cargo movements, with "K" Line restoring freight rates for the European services in April and for North America services in May, a statement said, resulting in higher operating revenues and profits against the same period last year.
The Freight Forwarding/Harbour Transportation division posted operating revenue of JPY30.788 billion, and an operating income of JPY3.28 billion. This comes as cargo transportation movements in sea and air routes grew steadily. In the harbour transportation services, cargo volumes increased helped by the expansion of the scale of the containership business.
In the second half, the business environment surrounding the shipping industry is expected to remain brisk, although high fuel prices and interest rates may weaken the company's performance.
The company is forecasting for the whole of fiscal 2007, consolidated net income of JPY71 billion, operating revenue of JPY1,230 billion and operating income of JPY99 billion.
Operating revenues rose by JPY56.91 billion to JPY309.17 billion. Operating income amounted to JPY36.05 billion, up by JPY25.97 billion.
In the containership business tonnage movements increased 18 per cent year on year despite a decline in cargo movements of housing related products on the Asia-North America services.
Overall cargo movements on the European services grew by 20 per cent, after the company strengthened its Europe trade routes by deploying 8,000-TEU vessels
Freight rates showed recovery backed up by strong cargo movements, with "K" Line restoring freight rates for the European services in April and for North America services in May, a statement said, resulting in higher operating revenues and profits against the same period last year.
The Freight Forwarding/Harbour Transportation division posted operating revenue of JPY30.788 billion, and an operating income of JPY3.28 billion. This comes as cargo transportation movements in sea and air routes grew steadily. In the harbour transportation services, cargo volumes increased helped by the expansion of the scale of the containership business.
In the second half, the business environment surrounding the shipping industry is expected to remain brisk, although high fuel prices and interest rates may weaken the company's performance.
The company is forecasting for the whole of fiscal 2007, consolidated net income of JPY71 billion, operating revenue of JPY1,230 billion and operating income of JPY99 billion.