Japanese shipping company NYK Line reported revenues of JPY727.7 billion ($4.55 billion) for the three months ended June 30, representing a 21.1 per cent increase from the same period a year earlier.
Operating profit during the quarter surged 69.8 per cent year on year to JPY57.7 billion, while net profit attributable to owners of the parent company grew 33.5 per cent to JPY67.1 billion.
Container shipping freight rates remained higher, supported by solid transportation demand, even as fuel prices increased following the closure of the Strait of Hormuz. The company said its vessels are expected to continue navigating via the Cape of Good Hope to avoid the Suez Canal throughout the fiscal year.
Stronger dry bulk market conditions and elevated tanker rates in the energy segment also contributed to the quarterly financial performance. Consequently, NYK raised its full-year earnings guidance, projecting revenues of JPY2.881 trillion and recurring profit of JPY250 billion.
Full-year profit attributable to owners of the parent is expected to reach JPY240 billion, an increase of 13.3 per cent from the previous year.
Following the revised financial outlook, the company plans to raise its annual dividend forecast by JPY40 to JPY240 per share, split equally between interim and year-end distributions of JPY120 per share.
