COSCO descends into the red with $4.8m loss in Q2
Due to losses in shipyard and shipping operations.
COSCO reported a net loss of $4.8m in the second quarter, compared to a net profit of $14.3m in the same quarter last year.
The loss was blamed on losses in shipyard and shipping operations amidst unfavourable market conditions, such as low crude oil price, languid dry bulk shipping and slump in shipbuilding.
The group’s revenue crashed 26% to $853.5m, on back of sharply lower shipyard and shipping revenues.
COSCO warned that it will face “fresh operational challenges” in its bid to introduce higher value offshore products.
“The Group expects present difficult and challenging business and operating conditions to persist. We will continue to focus on moving up the value chain and increasing efficiencies,” said COSCO Vice Chairman and President Wu Zi Heng.
More From Singapore Business Review
