Despite Bump in Business, OOCL Sees 9.9% Revenue Drop in 2016

by Ship & Bunker News Team
Tuesday January 31, 2017

Orient Overseas (International) Limited (OOIL) reported that its container line, Orient Overseas Container Line (OOCL), saw total volumes for full year period ending December 31, 2016, increase by 9.1 percent year on year, while total revenues in the period recorded a 9.9 percent drop.

Overall average revenue per TEU for the full year period decreased by 17.4 percent year on year.

OOIL says its shipping line's loadable capacity grew by 5.9 percent during the year, while the overall load factor was 2.5 percent higher compared to 2015.

The company further reports that, for 2016's fourth quarter, total volumes were up 20.2 percent compared to the same period of 2015, while total revenues increased by 10.3 percent to $1,302.4 million.

However, OOCL's average revenue per TEU in 2016 Q4 decreased by 8.2 percent year on year.

Earlier this month, Alphaliner said OOCL could be on the verge of becoming the latest box shipping major to be swallowed up by consolidation.

Later in the month, after media reports suggested that China Cosco Shipping Corporation Limited (Cosco Shipping) had been preparing a $4 billion offer to acquire OOCL, both Cosco Shipping and OOIL denied such negotiations were ongoing.

Ship & Bunker News Team
To contact the editor responsible for this story email us at editor@shipandbunker.com