Container shipping line operator Orient Overseas (International) (0316) reported yesterday full-year net profit skyrocketed 338.68 percent, boosted by its exceptional net gain of US$1.99 billion (HK$15.52 billion) from the sale of four North America container ports.
The SAR-based company said net income for the year ending December 31 jumped to US$2.547 billion from US$580.6 million the previous year.
A final dividend of 13.5 US cents per share was proposed. Turnover rose by 22.6 percent to US$5.65 billion.
Total shipping volume rose 18 percent to 4.6 million TEUs (20-foot equivalent units) from 2006. Overall revenue per TEU rose only 2.5 percent due to lower freight rates on its core tanspacific and transatlantic routes.
The firm does not see a rebound in its transpacific trade this year, said chief financial officer Kenneth Cambie. Soaring fuel costs could compel OOIL to hike freight rates further. Capital expenditure for 2008 is seen at US$1.28 billion, versus US$1 billion last year.
The SAR-based company said net income for the year ending December 31 jumped to US$2.547 billion from US$580.6 million the previous year.
A final dividend of 13.5 US cents per share was proposed. Turnover rose by 22.6 percent to US$5.65 billion.
Total shipping volume rose 18 percent to 4.6 million TEUs (20-foot equivalent units) from 2006. Overall revenue per TEU rose only 2.5 percent due to lower freight rates on its core tanspacific and transatlantic routes.
The firm does not see a rebound in its transpacific trade this year, said chief financial officer Kenneth Cambie. Soaring fuel costs could compel OOIL to hike freight rates further. Capital expenditure for 2008 is seen at US$1.28 billion, versus US$1 billion last year.