China Merchants Energy Shipping hit by $33m loss

China Merchants Energy Shipping (CMES) chalked up losses in the first nine months of this year, and it has anticipated further losses for the rest of the year due to the sluggish tanker shipping market.

The Shanghai-listed company reported a net loss of RMB201.16m ($32.98m) from January to September this year as against a profit of RMB67.8m in the corresponding period of 2012.

Revenue during the nine-month period was RMB1.93bn, down 13% from RMB2.22bn a year ago.

“The tanker shipping market saw a brief increase in activities in early-July but they were not sustainable. In dry bulk shipping, the market witnessed a rather strong upward trend in rates for capesizes in September, pushing the BDI to 2,127 points at one point,” CMES commented.

It added that due to the grim outlook of the tanker market, the company has projected continued losses for its financial year ending 2013.
Source: Seatrade Global