Neptune Orient back to profit at $100mln

Sustained strong container shipping volumes and improving freight rates helped drive second quarter growth.

Neptune Orient Lines (NOL) on Monday reported a net profit of US$100 million for the second quarter of 2010, up from a net loss of US$146 million in the second quarter of 2009.

The container and logistics group's Core EBIT (Earnings Before Interest and Taxes) for the quarter was US$114 million compared to a Core EBIT loss of US$131 million in the same quarter a year ago. Second quarter 2010 revenue increased 53% to US$2.1 billion.

"Continued strong container shipping volumes and improving freight rates have helped us return to profitability," said Group President and CEO Ronald D. Widdows. "The result for this latest quarter reflects significant progress as we turn around our performance from the economic downturn of 2009."

NOL reported Core EBIT of US$40 million for the first half of 2010, compared to a US$353 million Core EBIT loss a year ago. Revenue in the first half increased 44% to US$4.1 billion. Net profit for the first half of 2010 was US$1 million, compared to a net loss of US$391 million in the first half of 2009.

View the full story in ETaiwan News.