HMM achieves growth in first-half revenue and profits

SEOUL : HMM, South Korea’s major container line has posted significant gains in first-half revenue and profits.

In particular, HMM reported a year-on-year 18.6% growth in its H1 revenue, reaching US$3.64 billion, an 88% increase in net profit climbing to US$840,000, and a 125% increase in operating profit rising to US$770,000.

HMM’s first-half operating margin is 21.1%, which is the highest level among global ocean carriers.

“A boost in freight rates and the strengthening of profitability-oriented operations resulted in a growth in revenue and profits,” noted the company, adding that “considerable uncertainties as a result of geopolitical risks and global trade tensions will probably make a sudden shift in the global shipping market.”

HMM said it plans to make an “ideal transportation service network” in line with changes in supply and demand by route and region, such as obtaining new shipbuilding and used vessels, launching new routes (FLX routes) in Mexico, and stressing diversifying enterprises.

The company added it will prepare for the rapidly changing market situation by introducing ultra-large vessels, strengthening eco-friendly competitiveness and digitalization, reducing costs and pursuing profitability-oriented operations.