SINGAPORE (Aug 4): Cosco Shipping International (Singapore) reported net loss narrowed to $20.8 million in 2Q17 from $36.8 million in 2Q16.
Group revenue decreased by 31.2% to $524.7 million in 2Q17 from $762.9 million in 2Q16 owing to decrease in shipyard revenue.
Turnover from shipyard operations decreased by 31.6% to $516.1 million in 2Q17 from $754.6 million in 2Q16 mainly owing to lower revenue contribution from ship repair, ship building and marine engineering.
In 2Q17, the group delivered three projects. Cosco Zhoushan shipyard and Cosco Dalian shipyard delivered one bulk carrier each and Cosco Guangdong shipyard delivered one emergency, response and rescue vessel.
Turnover from dry bulk shipping and other businesses increased by 4.7% from $8.3 million in 2Q16 to $8.7 million in 2Q17 as the current short-term rates were higher than the charter rates secured in 2Q16.
Gross profit increased 80.2% from $11.5 million in 2Q16 to $20.8 million in 2Q17 due to higher contributions from shipyard and shipping operations.
Other income comprised gain from the disposal of scrap metal, interest income and others. Compared to 2Q16, other income increased by 21.4% to $17.9 million in 2Q17 mainly due to higher interest and rental income.
Administrative expenses decreased by 93.2% to $0.9 million mainly due to net reversal of impairment of trade and other receivables of $32.4 million.
Shares in Cosco Shipping last traded at 31 cents.
