HMM posted a loss for the first quarter, but a narrower one year-over-year, despite the ongoing Covid-19 crisis.

The diversified South Korean shipowner stayed in the red for the first three months of 2020, reporting a KRW 65.6bn ($55m) loss on Friday, which was lower than the KRW 178.5bn loss for the same period last year.

"Despite the negative impacts led by the spread of the Covid-19, HMM's profitability has enhanced attributed to cost-savings efforts, optimal utilisation of five VLCCs and securing high-yield cargoes in addition to strong freight rates in the Middle East and India trade lanes," the company said in a statement.

The results came as the company's revenue stayed roughly flat, with KRW 1.31trn earned in the first quarter of 2020 versus KRW 1.32trn for the same period last year — despite container volumes falling 200,000 teu to 890,000 teu.

HMM said it expects those volumes to continue to weaken due to demand declines in the US and Europe and the continuing lockdown in some economies and potential effects from continued US-China trade tensions.

It added that its crude oil tanker fleet — the five VLCCs and two suezmax tankers — have been profitable that it is expected to continue given the recent low oil prices and demand for floating storage leading to higher rates.

HMM's shares on the Korea Stock Exchange rose KRW 40 — or 1.08% — on Friday to KRW 3,735.