Yusen Logistics sees earnings rise 134pc in fiscal 2010

YUSEN Logistics, a subsidiary of Japanese giant NYK, has posted a net profit of US$44.16 million for fiscal 2010 ending March 31, representing a year-on-year increase of 134.4 per cent.


Operating revenue increased 30.2 per cent to $1.96 billion on the back of "firm" demand for air and sea freight services, particularly, on overseas trade routes. Operating profit grew by 114.1 per cent to $60.3 million.


"Although recovery continued thanks to economic stimulus measures taken by many countries, the pace of growth slowed down in the third and fourth quarters," said the company.


"In Asia, China maintained high growth. Other emerging economies in Asia, including Vietnam and India, grew steadily, bolstered by strong domestic demand," it said.


Yusen Logistics noted that there was some improvement in consumer spending in the US, but there was no significant improvement in the jobs and housing markets, according to Newark's Journal of Commerce. "In Europe, economic growth remained sluggish due to fiscal austerity measures triggered by the financial crisis," said the Yusen statement.


"The Japanese economy began to move from the stagnation phase towards the recovery one in the third quarter on the back of increased exports to Asia. But the earthquake has had a serious impact on economic activity."


Yusen Logistics said it expected net profit to rise 38.1 per cent to $60.98 million in the current fiscal year, up from fiscal 2010; operating revenue will be up by 119.5 per cent to $4.3 billion; and operating profit will be 124.4 per cent higher at $135.37 million, the report said.
(Source:http://www.schednet.com)