The company however noted that the 2012 results were boosted slightly by the reversal of the relevant impairment provision as a result of the collection of trade receivable from a customer of marine fuel and other products segment of $3.8m.
Revenue fell 7% to HKD$9.31bn in 2013 from HKD10.01bn previously as all its core shipping services business segments declined. Segment revenues of marine fuel and other products, marine equipment and spare parts and ship trading agency fell by 9%, 4% and 6% respectively year-on-year
Revenue from the core shipping services businesses fell by 6% to HKD8.1bn from from HKD8.6bn but still accounted for the bulk (87%) of the Group's revenue. Revenue from the general trading segment decreased by 10% to HKD1.25bn.
Although turnover fell, the group's gross profit for the year increased by 1% to HKD6943m and and overall average gross profit margin rose from 6.9% to 7.5%. as a result of the increase in gross profit margin of coatings, stable growth of insurance brokerage revenue and the focus of supply of asphalt with higher profit margin under the general trading segment.
Looking ahead, the group "will continue to proactively seize the opportunities to push forward the establishment of global sales and services network and the acquisition of shipping service-related projects inside and outside Cosco Group, and at the same time positively explore the development of upstream and downstream businesses along the value chain of existing businesses in accordance with its established strategic development plan" the company concluded.
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