HMM Posts Record High Q1 Operating Profit Surpassing 1 Trillion Won... 'Earnings Surprise'

HMM Shanghaiho

[Asia Economy Reporter Dongwoo Lee] HMM, the largest domestic national shipping company, recorded its highest quarterly performance since its founding.

On the 14th, HMM announced that its operating profit for the first quarter of this year turned positive to 1.0193 trillion KRW compared to the same period last year. It had recorded an operating loss of 2 billion KRW in the first quarter of last year.

Sales amounted to 2.428 trillion KRW, an 85% increase compared to the same period last year. Net profit for the period was 154.1 billion KRW, improving by 219.7 billion KRW compared to the same period last year.

This is the highest quarterly performance since Hyundai Merchant Marine, the predecessor of HMM, was established in 1976. In particular, the operating profit exceeded last year's total performance (980.8 billion KRW).

HMM evaluated that container loading volume increased by about 7% compared to the same period last year due to rising freight rates and increased cargo volume. Especially, freight rates on the Asia-Americas route rose, and rates on all routes including Europe and other regions increased, greatly improving the market conditions.

They also explained that they plan to continuously strive to secure high-quality shippers, enhance operational efficiency, and refine cost reduction measures to achieve competitiveness at the level of global shipping companies.

HMM stated, "This performance improvement was possible thanks to the active support of the public, government agencies, and creditors, and we will continue to fulfill our responsibilities and roles as Korea's representative national shipping company."