Cosco Ports profit off 52pc to US$43.8 million, but sales ri

Time: 2016-10-28 13:36
COSCO Shipping Ports Ltd's third quarter profit fell 52 per cent year on year to US$43.89 million drawn on revenues of $149.8 million, up 0.7 per cent.
Formerly known as Cosco Pacific, COSCO Shipping Ports is the terminal operator arm of China COSCO Shipping Corporation Ltd. (COSCOCS), the newly merged shipping conglomerate formed from state-run firms COSCO and China Shipping.
Through the first three quarters of 2016, profits from continuing operations fell 27.8 per cent year on year to $149.8 million even as revenues remained relatively flat.
Throughput at COSCO Ports' terminals slowed in the third quarter due to "sluggish global economic growth and negative growth in China's foreign trade", the company said.
Total volumes were up 4.7 per cent to 24.2 million TEU for the quarter and 3.9 per cent to 70.2 million TEU in the first nine months of the year.  
Its overall throughput rise 4.1 per cent year on year in September to 8 million TEU led by the Bohai Rim region which handled 2.8 million TEU, representing an increase of 5.9 per cent.
Its terminals on China's southeast coast achieved throughput growth of 4.6 per cent to 386,200 TEU, while on China's southwest coast volumes increased by 6.6 per cent to 85,700 TEU, although this was only off Guangxi Qinzhou International Container Terminal, the sole port that the group has there at the moment, reported UK's Seatrade Maritime News.
The Yangtze River Delta ports saw throughput decline by 4.1 per cent to 1.5 million TEU, while the Pearl River Delta ports saw volumes fall 1.5 per cent to 2.2 million TEU.
The declines were led by its Hong Kong terminals, Cosco-HIT Terminal and Asia Container Terminal, which recorded throughput declines of 18.6 per cent and 5.7 per cent respectively. Surprisingly CSP's huge Shenzhen terminal in Yantian also saw an eight per cent throughput drop to 1.1 million TEU.
The only growth in this region came from terminals in Guangzhou, with Nansha's volumes rising 10.9 per cent and South China Oceangate terminal up 11.2 per cent. However, these were both from low bases of 460,100 TEU and 360,700 TEU to 510,000 TEU and 400,900 TEU respectively.
The poor throughput figures for CSP's Hong Kong-based terminals were, however, not reflected in the city's port figures, with the Marine Department reporting that overall throughput for September was almost flat, after decreasing by 0.7 per cent to 1.62 million TEU.
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