Cosco in Loss, Blames Low Oil Price
By Aiswarya Lakshmi
Friday, July 17, 2015
Cosco Corporation has warned investors of an expected net loss for the second quarter ended 30 June 2015, as against a profit in the previous corresponding period.
The company said the loss is mainly due to the low crude oil prices over recent months which have had an adverse impact on the global offshore marine industry.
The statement from the company says: "The Board is of the view that the Company’s consolidated financial results for 2Q2015 will show a net loss as compared to a profit recorded in the corresponding period of the previous financial year."
"The expected net loss is mainly attributable to (i) the low crude oil prices over recent months which has had an adverse impact on the global offshore marine industry, (ii) the languid dry bulk shipping market which has brought great pressures to the Company’s dry bulk fleet operations and (iii) the slump in the shipbuilding market which has negatively impacted the Company’s shipyards."
Further details of the Company’s financial performance will be disclosed when the Company announces its 2Q 2015 Results, which are scheduled to be released July 31.