NOL suffered US$34.6m losses in 2Q13

But cost savings hit US$240m.

According to DBS, NOL reported a net loss of US$34.6m in 2Q13, and after adjusting for gains on sale of assets and realized gains on financial hedging instruments, results were largely in line with expectations of a US$64m net loss in 2Q13.

Liner volumes during the quarter were down 2% y-o-y, with contractions on both US and Europe trade lanes, while average freight rate was down 11% y-o-y, resulting in a 13% y-o-y revenue contraction in the liner business.

Here's more from DBS:

However, effective cost control measures and lower bunker fuel prices meant that operating cost per FEU also dipped 11% y-o-y, thus softening the impact of lower freight rates to an extent.

NOL’s efficiency drive has helped to deliver cost savings of about US$240m YTD in FY13, excluding the effect of lower fuel prices.