Hanjin Posts December Loss After De-merger

Hanjin Shipping, the new company that runs the South Korean company’s shipping operations, said Thursday it lost $26 million on revenue of $573 million in the month of December, its first full month of operation following its de-merger.

As of Dec. 1 of 2009, Hanjin Shipping, the predecessor company, split into two separate companies, Hanjin Shipping Holdings, a holding company, and Hanjin Shipping, an operating company.

On a sequential quarter-to-quarter basis, Hanjin Shipping suffered a loss of $239 million in the fourth quarter ended Dec. 31, compared to a loss of $339 million in the third quarter ended Sept. 30, 2009.

Fourth-quarter revenue increased 12.2 percent from the third quarter to $1.6 billion, mostly from an increase in trans-Pacific container volume and a recovery in Asia-Europe freight rates.

Revenue from Hanjin’s container division increased by 13.2 percent over the third quarter to $1.29 billion. Revenue from its bulk division increased by 8.4 percent to $321 million.

For full-year 2009, Hanjin incurred a loss of $1.09 billion from its shipping operations, compared to a profit of $323 million in 2008.

Full-year revenue fell by 34.5 percent to $5.6 billion from $8.6 billion in 2008.

The company said it has set a 2010 business target of “financial stabilization by operating in the black in 2010.”

It said it expects the sales environment to improve as a result of an increase in container traffic due to gradual economic recovery in the United States and Europe.

Contact Peter T. Leach at pleach@joc.com.