Zim announces continued losses in Q3
Zim has announced its financial results for the third quarter of 2011. Despite a revenue fall of 2.7% compared to the second quarter, the company managed to reduce its operating losses to $63m compared to $79m in the previous quarter.
Zim announced that it closed the third quarter with a turnover of $973m, compared to $1bn in the second quarter. However, it managed to improve its operating loss by 20%. In addition, the company improved from a negative cash flow of $7m in the second quarter to a positive cash flow from its operating activities totalling $23m in the third quarter.
The company shipped a total of 646,000 TEU in the third quarter, compared to 596,000 TEU in the previous quarter, as well as the corresponding period of 2010, an increase of 8% in relation to both. The average price per shipped container remained similar to the previous quarter at $1,311 per container. Zim announced that pressure on its prices will remain in the fourth quarter as capacity in the shipping industry continues to increase which deepens the excess supply and will result in continued low shipping prices.
In addition, high fuel prices also contributed to the company’s continued losses. The average market price of shipping fuel was $650 a ton in the third quarter, compared to an average of $463 a ton in the same period of 2010. Zim expects this trend to continue into the fourth quarter.
The company also announced it has reached an agreement with the Israel Corp. and Ofer Group to inject $100m into Zim, allowing the company to design a new long term business plan.
Quelle: eyefortransport
Portal: www.logistik-express.com