World News
Improved Outlook for CMA CGM Despite Higher Bunker Costs
Monday October 16, 2017
French boxship operator CMA CGM saw higher bunker costs during the second quarter but has been upgraded by ratings agency Moody's for more robust finances and an improving container market.
Operational costs increased during the quarter in the main because of 31% rise in bunker costs, the agency said as reported by maritime news provider Lloyd's List.
On the back of a "strong margin performance", Moody's upgraded the shipping firm's outlook from stable to positive.
Industry fundamentals improved during the quarter as there was limited new supply after the cyclical trough in 2016.
CMA CGM is among the the top three container line shipping companies.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 655.50 | 2.00 | 808.50 | 4.50 |
| Rotterdam | 619.00 | 0.00 | 789.00 | 8.00 |
| Houston | 628.50 | 7.50 | 812.50 | 1.50 |
| Fujairah | 653.50 | 4.50 | 900.00 | 2.50 |
| Global 20 Ports Average | 672.00 | 0.50 | 885.00 | 7.00 |
| Global 4 Ports Average | 639.00 | 2.50 | 827.50 | 2.00 |
| Global Average Bunker Price | 727.50 | 1.50 | 933.50 | 5.00 |
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