Sinotrans Shipping suffers drop in interim profit

Hong Kong: Sinotans Shipping, the dry-bulk arm of China's third-largest shipping group, said first-half profit fell 8.7 percent, mainly on reduced interest income.
Net income fell to $58.5 million, or 1.46 cents a share, from $64 million, or 1.6 cents, a year earlier, the company said in a Hong Kong stock exchange statement yesterday. Sales rose 12 percent to $133.7 million, mainly on increased dry-bulk revenue.
First-half dry-bulk shipping sales rose 14 percent to $125.2 million, oil-tanker sales increased 70 percent to $8.61 million and container-shipping sales fell 9.3 percent to $9.76 million, Sinotrans Shipping said. Finance income fell to $4.96 million from $14.6 million, it said.
The company said it will pay an interim dividend of 2 Hong Kong cents per share.
Sinotrans Group in April said it may buy overseas dry-bulk vessel owners on the rebound in demand. The group had talked to at least five shipowners in southeast Asia and the Middle East, Assistant President Li Zhen said in an interview at a conference in Tokyo. Buying logistics companies worldwide was also being considered, he said. [10/08/10]