• 2015 July 31 09:06

    NOL reports net profit of $890M in 2Q 2015

    Net profit of NOL Group for the second quarter 2015 reached US$890 million. Excluding the US$887 million gain on the sale of its supply chain management business, NOL achieved a net profit of US$3 million in the second quarter of 2015, compared to a net loss of US$54 million in 2Q 2014, the Group said in a press release.

    Singapore-based NOL said that the second quarter of 2015 saw severe freight rate erosion with rates in major trade lanes falling to some of the lowest levels seen in recent years. Despite the tough operating environment, the Group posted a second quarter 2015 Core EBIT (Earnings Before Interest, Taxes and Non-Recurring Items) of US$29 million, versus a loss of US$15 million in the same quarter last year. NOL’s Core EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation) in 2Q 2015 was US$119 million, up 53% from US$78 million in the same period last year.

    “The Group’s container shipping business continued to face a challenging environment characterised by over-capacity and weak market demand. Nonetheless, APL reversed a core EBIT loss in the second quarter last year to a positive position this year,” said NOL Group President and CEO Ng Yat Chung. “We remain focused on improving our cost competitiveness, yield optimization and service reliability to return the liner business to sustained profitability.”

    NOL reported US$100 million in cost savings in 2Q 2015, bringing its total cost savings for the first half of the year to US$255 million. “There is room for further cost savings with another nine vessels scheduled for expiry in the second half of this year,” added Mr Ng.

    Following the completion of the sale of APL Logistics on 29 May 2015 for a final purchase price of US$1.238 billion, and after taking into account transaction and transaction-related expenses, the NOL Group registered a gain of US$887 million. The Group saw a healthier balance sheet after repayment of debt, with the Group’s net gearing ratio reduced to 1.03x as at 26 June 2015 from 2.25x as at 26 December 2014.

    Liner strategy gaining traction

    APL, NOL’s container shipping business, recorded a 12% volume reduction in 2Q 2015 compared to the same period last year, due both to weak global demand as well as the carrier’s continued efforts to trim capacity in unprofitable trade lanes to optimise yield. Its average freight rates dipped 17% amidst pressure from over-capacity in the industry. Versus the same period last year, APL’s revenue fell 22% to US$1.3 billion in the second quarter of 2015.

    In spite of reduced revenue, APL achieved an improved 2Q 2015 Core EBIT of US$20 million, compared to a loss of US$28 million over the same period last year. This is its sixth consecutive year-on-year improvement in its quarterly Core EBIT. APL attributed its performance to stringent cost management as well as a yield-focused trade strategy that emphasises network rationalisation and better cargo selection. The carrier returned five expensive chartered ships in the second quarter. As a result, total cost of sales per forty-foot-equivalent unit (FEU) fell by 15% year-on-year. APL also kept its headhaul utilisation above 90%. These efforts mitigated the impact of lower volumes and freight rates in the quarter under review.

    APL’s schedule reliability also improved. According to the June edition of the Global Liner Performance Report published by SeaIntel Maritime Analysis, APL was the most reliable carrier in May 2015 with a global on-time performance of 85.5%, above the industry average of 78.3%


2018 November 16

15:29 Port of St. Petersburg handled 49.14 million tonnes in 10M’18, up 12% Y-o-Y
15:10 ZIM announces Q3 2018 results
14:45 Jan De Nul supports the 6th Forum of Dredging Companies as its Sponsor
14:24 Decision on construction of 4th and 5th nuclear-powered icebreakers expected before year end
14:10 Diana Shipping announces time charter contract for m/v Thetis with Hudson
13:32 Entry fee for vessels to be changed at the Port of Ventspils in 2019
13:10 Global Ship Lease completes strategic combination with Poseidon Containers
12:55 Ship inspection to keep high standards
12:31 GoodBulk announces delivery of Supramax vessel to its new owners
12:04 CMA CGM announces FAK rates from ISC to North Europe and the Mediterranean
11:30 GTT receives an order from HHI to design the tanks of two new LNG carriers
11:25 Multipurpose Reloading Complex (Ust-Luga) boosts allocations for its development programme
11:04 ForSea completes conversion of the world’s largest battery ferries, powered by ABB
10:44 Wärtsilä, LUT University and Nebraska Public Power District to develop business case for alternative fuels
10:41 Nor-Shipping looks to achieve industry first with ISO sustainable event standard
10:20 Brent Crude futures price up 0.84% to $67.17, Light Sweet Crude – up 0.74% to $56.88
10:02 Portmaster improves efficiency in the Port of Scheveningen
09:57 High level experts to present at Maritime Reconnaissance and Surveillance Technology conference
09:35 Container throughput of port Hong Kong (China) down 5.4% to 16.3 million TEUs in Jan-Oct’18
09:16 Baltic Dry Index is up to 1,020 points

2018 November 15

18:03 Costa Smeralda to call on Cruiseport Rotterdam
17:54 Polish LNG Conference 2018 concludes in Warsaw
17:25 Port of Singapore throughput in 10M’18 grew by 0.7% Y-o-Y to 523.73 million tonnes
17:03 Maersk Line announces rates from Mediterranean to West and Central Asia
16:52 Expert says downward trend in bunker prices may continue next week
16:30 Nevsky Shipyard launched dry cargo vessel of Project RSD59 «Pola Anfisa»
16:19 "K" Line takes delivery of coal carrier “SHONAI MARU” for JERA Trading
16:04 ICTSI names new APAC head
15:22 Meyer Turku starts construction of Carnival XL1
15:03 Port of Antwerp signs an agreement with Enabel
14:34 Throughput of Ukraine’s seaports in 10M’18 declined by 0.7% Y-o-Y to 108 million tonnes
14:03 Pavilion Energy and Novatek agree to strengthen their LNG partnership
14:00 Damen hands over four FCS 2610 vessels to Allianz during ADIPEC
13:36 ABS awards industry’s first offshore facility cyber security-ready notation to Sembcorp Marine
13:23 NOVATEK’s Board of Directors to be elected on 18 January 2019
13:00 Zvezda shipyard started serial manufacturing of Aframax-class tankers
12:39 Residents of Riga and the Port outline a common vision for the future
12:04 Singapore hosts 10th APEC Port Services Network (APSN) Port Connectivity Forum
11:48 Bunker prices are still high in the Far East ports of Russia (graph)
11:22 Sea Port of Saint-Petersburg’s allocations for its development programme totaled RUB 413.5 million in 9M’2018
11:03 NYK promotes decarbonization through exploratory design of NYK Super Eco Ship 2050
10:51 ABS and HHI pioneer Cyber Security standard for new vessels
10:25 Brent Crude futures price down 0.18% to $66, Light Sweet Crude – down 0.36% to $56.05
10:11 OOCL introduces new Asia – South Africa direct services
09:58 A.P. Moller – Maersk, CMA CGM, Hapag - Lloyd, MSC and Ocean Network Express plan to establish container shipping association
09:38 ASW Severomorsk of RF Navy's Northern Fleet completed a call to the Republic of Djibouti
09:16 Baltic Dry Index is down to 1,009 points

2018 November 14

18:37 Savannah achieves all-time record in October 2018
18:20 Sovcomflot concludes USD 149 million project credit facility with leading European banks
18:06 NYK and YLK jointly hold training program for staff from around the world
17:57 Organizers of “Dangerous cargoes: new transportation requirements” conference determined subjects to be discussed
17:36 Northwest Seaport Alliance adopts budget for 2019
17:07 DEME’s cutter suction dredger ‘Spartacus’ launched at the Royal IHC shipyard
17:06 Port of Rotterdam Authority wins 2018 ESPO Award
16:40 NIBULON’s fleet masters transportation of bulky cargo
16:38 Diana Shipping announces time charter contract for m/v Maia with Glencore
16:18 A.P. Moller - Maersk reports Q3 2018 results
15:48 1.348 million cbm to be dredged in Azov-Don River Basin this year
15:20 Stolt-Nielsen, Golar LNG and Höegh LNG announce joint $182 mln investment in Avenir LNG
14:56 World's most eco-friendly bulk carriers Viikki & Haaga operate in Baltic Sea