Bruce Barnard, Special Correspondent | Sep 04, 2012 9:59AM EDT
Norwegian Car Carriers narrowed its second quarter loss from a year ago and forecast a strong second half as the growing global demand for cars offset weak European sales.
The Oslo-based company, which operates 13 vessels, booked an after-tax loss of 12.9 million kroner ($2.22 million) in April-June, compared with a 16.3 million kroner ($2.81 million) deficit in the same period in 2011.
Operating profit increased to $1.05 million from $222,000 as revenue climbed to $17.1 million from $15 million a year ago.
The charter market for deep-sea car carriers remained “sound” in the second quarter, and the outlook is “moderately positive,” the company said.
Stronger sales in the U.S., by far the world’s largest auto import market, are supporting shipping volumes, while growth in the car carrier fleet will decline in the second half of 2012 and is expected to remain at low levels through 2013 and into 2014.
South Korea’s car exports hit an all-time high in the second quarter, and Japanese shipments were the highest for a second quarter since 2008.
Car exports from China, India and Thailand continued to register double-digit growth, and their combined shipments in the second half of 2012 could potentially surpass exports from Korea.
Contact Bruce Barnard at brucebarnard47@hotmail.com.
