Cosco Shipping International (Singapore) has reported a 261% surge in full-year net profit on the back of the boom in the logistics and bulker sectors.
The Singapore-listed company reported a 2021 profit of SGD 30.1m ($22.1m) versus the SGD 8.3m seen 12 months earlier, figures released Tuesday showed.
The company also reported a 7% cent year-on-year increase in 2021 revenue to SGD 198.5m from SGD 185.8m in the previous year.
Cosco said the growth in revenue was driven by higher revenue from logistics and ship repair and marine engineering activities.
This was partially offset by lower revenue from shipping and property management. Logistics activities made up the bulk of Cosco’s revenue at 74%.
Revenue from shipping activities decreased by 18% to SGD 27.4m last year due to lower revenue from chartered-in vessels, Cosco said.
Excluding revenue from chartered-in vessels of SGD 1.5m last year versus the SGD 21.9m in 2020, revenue from owned vessels increased by about SGD 14.4m due to higher charter rates.
Revenue from ship repair and marine engineering increased by 18% to SGD 12.5m due to higher revenue from ship repair and fabrication works.
“With COVID-19-related disruptions and factors such as rising inflation rates and labour costs, there is still a high level of uncertainty in terms of the length and depth of their economic impact on the company’s financial performance in the next 12 months,” Cosco said.
“In view of the challenges ahead, the group aims to continue pursuing steady and sustainable growth through synergistic collaboration among its businesses and continuous optimisation of its current diversified portfolio.”
The company has a total of three bulkers with a total tonnage of 163,000-dwt and an average age of 16 years.
Late last year the company concluded a deal to sell a 60% stake in its dry-bulk arm to Cosco (HK) Shipping for $42.39m.
