SINGAPORE - Neptune Orient Lines (NOL), the world's fifth largest container shipping company, reported better than expected second quarter profit on Friday as cargo volumes and freight rates recovered.
The global shipping industry suffered its worst downturn in history last year as the recession hit exports and forced many companies to lay up ships and cut jobs.
'With further improvement anticipated in container shipping volume and rates, NOL Group expects significant improvement in third quarter profits,' the company said in a statement.
NOL, around two-thirds controlled by Singapore state investor Temasek Holdings, earned US$100 million profit in the second quarter, compared to a US$146 million loss a year ago. The profit was ahead of analysts estimates of US$31 million.
Its second quarter revenue climbed 53 per cent to US$2.1 billion.
NOL shares have gone up 29 per cent since since the start of the year, outperforming the broader Singapore market, which has gained nearly 4 per cent. -- REUTERS
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