Soaring container freight rate props up SCI’s third quarter profit

Our Bureau Updated - February 06, 2021 at 07:25 PM.

Shipping Corporation of India

The container division of Shipping Corporation of India Ltd (SCI), contributed to half the third quarter profit of the company on the back of soaring container freight rates.

SCI reported a net profit of ₹103.30 crore during the October-December quarter from ₹284.50 crore during the same period last year. The container division posted an operating profit of ₹49.72 crore from a loss of ₹25.90 crore a year earlier, while tanker ships made an operating profit of ₹50.42 crores from ₹316.26 crore a year ago.

The third quarter profit of SCI was propped up by the performance of container ships, an official said.

SCI could have made much more money if it had more container vessels, he added.

SCI runs five container ships of which two are owned while the rest are hired from the market. The state-owned shipping company has a slot arrangement with Mediterranean Shipping Company on overseas trade and with Simatech for domestic coastal movements.

SCI’s standalone operating revenue declined to ₹841.23 crore during the third quarter from ₹1,218.23 crore during the corresponding period last year.

Published on February 6, 2021 13:47