Asia/Pacific News
Straits Inter Logistics Sees 63% Drop in Oil Trading and Bunkering Profit
Pre-tax earnings for the oil trading and bunkering unit of Malaysia's Straits Inter Logistics dropped by 63% in the second quarter, the company said Thursday.
The segment saw pre-tax profit of 1.36 million ringgit ($326,000), down from 3.674 million ringgit in the same period a year earlier, Straits Inter Logistics said in an earnings release.
The company mostly cited this year's slowdown in shipping as being behind its worsening performance.
"The substantial drop in revenue is mainly attributable to the COVID-19 pandemic that hit the shipping industry worldwide including Malaysia," the company said.
"Due to the numerous travelling restriction imposed by countries worldwide in the movement of ships, there was a general slowdown in the deployment of vessels resulting in the sharp drop in the demand for bunkering services."
