HMM Profits Plunge Nearly $2bn As Container Demand Drops

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South Korean ocean carrier HMM has said that its third-quarter revenue decreased by 58% to US$1.6 billion, reports Container News.

At the same time, the company’s operating profit was US$57 million, with a margin of 3.6% and net profit reached US$72 million with a margin of 4.5%.

Container demand under downward pressure 

HMM said it maintains profits in an unfavourable market situation for the cumulative nine-month period. The revenue and operating profit came to US$4.8 million and around US$410 million, respectively, while the company’s net profit reached US$530 million.

The shipping company said, “Container demand is expected to be under downward pressure with no encouraging sign of restoring desire for consumption. This prediction originated from considerable uncertainties mainly related to widespread inflation, economic slowdown and geopolitical tensions.”

HMM pointed out it will focus on various cost-cutting measures and enhance operational efficiency to make its business competitive amid market volatility and uncertainties.

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Source: Container News

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