Cosco Ports out of the doldrums?
The terminal and port operator Cosco Shipping Ports (CSP) reported its interim results for the six months ended 30 June 2020 on an ambiguous note.
While revenues dropped to USD 452.7 million (-12.6%) in comparison with the same period last year, gross profit suffered a significant loss of -35.4% to USD 99.2 million. Yet, net profit surged by 10% to 163.4 million. The subsidiaries were especially effected, registering a loss of 10.5 million teu (-15.6%).
The throughput of the main gateway to Europe, Piraeus Terminal, decreased by 6.2% to 2.4 million teu (H1/2019: 2.57 million teu), whereas CSP Zeebrugge Terminal saw an uptick of 58.4% to 293,000 teu due to improvements in shipping routes and increasing volumes from ad-hoc shipping calls in January and February.
More boxes were handled at the CSP Abu Dhabi Terminal, which recording 340,727 teu (April to June 2019: 68,746 teu).
The group sees itself well prepared despite the continuing pandemic, since CSP held cash and bank deposits of approximately USD 1.2 billion by the end of June. It is expected that there will be sufficient cash to support the company's dividend policy in 2020. (mw)