13 May 2024 (Lloyd's List) - YANG MING Marine Transport said it remained cautious of oversupply and geopolitical tensions after posting rising profits in the first quarter, benefiting from the Red Sea disruption and recovery among major economies.
The Taiwanese carrier reported a net profit of nearly $T9.4bn ($298m) for the first three months of this year, more than doubling the $T3.5bn profit a year earlier, and also a significant turnaround after a $T1.3bn loss in the fourth quarter of 2023.
Its revenue stood at $T43.8bn, marking a notable increase from the approximately $T37bn generated during the same period in 2023.
Yang Ming attributed its recovery to the absorption of vessel capacity caused by the Red Sea crisis, as well as improved demand in major economies and the production resumption by manufacturers after the Chinese New Year.
It cited Alphaliner’s forecast for 2024 that fleet capacity supply growth of 9.7% will surpass the 3% growth in demand, adding that escalating geopolitical conflicts could have a significant impact on the global economy.
Therefore, Yang Ming “will remain cautious and actively adjust business strategies” despite the improved outlook for the global economy and anticipated stimulus by big economies.
The world’s 10-largest container shipping company by fleet capacity, Yang Ming owns and operates 94 vessels with a total capacity of 707,018 teu, according to Alphaliner.
