CSCL Reports Heavy Loss
China Shipping Container Lines (CSCL) has stayed in the red in the first nine months despite a profitable third quarter.
For the January-September 2016 period, CSCL saw its net loss widened to RMB634.92m ($93.8m) compared to the deficit of RMB255.4m in the same period of 2015, MANA correspondent reported.
The loss came despite the shipping firm posting a third quarter profit of RMB205.93m, as against the loss of RMB1.09bn in the year-ago period.
Revenue for the third quarter plunged by 61.6% year-on-year to RMB3.48bn due to the sluggish container shipping market.
Following the merger of China Shipping Group, parent of CSCL, and China Cosco Group to form China Cosco Shipping Corporation (Cosco Shipping), CSCL had gone through a business restructuring, moving away from its core container shipping business,
The company had its business focus shifted from container liner operation to integrated financial services consisting of diversified leasing businesses such as vessel leasing, container leasing and non-shipping finance leasing.
CSCL will also be renamed Cosco Shipping Development Co to reflect its new businesses, but the new name is not yet reflected in its latest third quarter financial results report.