Singapore-based carrier Ocean Network Express (ONE) has posted a remarkable increase in profits for the April-May period, with operating profits surging by 70% year-on-year, according to sources.
ONE reported an operating profit of USD 667 million for the quarter, a significant rise from both the previous quarter and the same period last year. This figure more than doubled the USD 223 million operating profit recorded in the January-March period and marked a 73% increase from the April-May period in 2023.
The company generated USD 4.2 billion in revenue during the quarter, achieving an average rate of USD 1,340 per twenty-foot equivalent unit (teu). This rate showed a slight improvement compared to USD 1,333 per teu from a year ago and USD 1,287 per teu in the first quarter of this year. The carrier also handled 3.14 million teus during the quarter, reflecting an 11.2% increase year-on-year and a 4.7% rise quarter-on-quarter.
As a result of these gains, ONE reported a strong operating margin of nearly 16% for the period. The company attributed its performance to a steady recovery in cargo movements, which led to a tighter supply and demand situation. This situation also affected the availability of container equipment in certain regions.
Given these favorable conditions, ONE has nearly tripled its full-year net profit guidance, raising it from USD 1 billion to USD 2.745 billion. If achieved, this would significantly surpass last year’s net profit of USD 1.827 billion.
Source: Alphaliner, ONE
