NYK records a profit even as revenue falls in first half
Nippon Yusen Kabushiki Kaisha (JP: 9101), also known as NYK Line, recorded a profit in the six months ending Sept. 30, a turnaround from the loss reported in the same period a year earlier. Japans major liner companies report their earnings on a fiscal year that runs from April 1 to March 30.
Japans largest shipping company had operating profit of 15.8 billion yen ($146.7 million), compared with a loss of 4.2 billion yen in the same period last year. NYK is forecasting operating profit of 40.5 billion yen for the 2019-20 fiscal year, up from the 34.5 billion it had forecast on July 31.
The first-half profit improvement came despite a 9.9% drop in revenue to 824.7 billion yen in the first six months of the current fiscal year compared with revenue of 915.7 billion yen in the six months ending Sept. 30, 2018.
NYK, along with MOL and K Line, owns the liner container shipping company Ocean Network Express (ONE). NYK is also involved in bulk shipping, logistics, air cargo transportation, real estate and other sectors.
NYK saw its six-month container liner revenue decline 31% year-on-year to 103.6 billion yen in the six months ending June 30, 2019, but as a whole, the business performance greatly improved, and a profit was recorded of 9.7 billion yen compared to a loss of 18.8 billion yen in the six months ending Sept. 30, 2018.
ONE maintained steady overall liftings and utilization, and the liftings particularly increased on the major North America a....