Zim returns to the black
Continuing a series of much stronger results among international container shipping lines, Zim Israel Navigation Co. reported a rebound in its financial results for the first half of the year, with earnings of NIS24.6 ($6 million), as compared to a loss of NIS62.9 million in the first six months of 2002.
Revenue for the half-year period soared by 24 percent, to NIS4.1 billion, from NIS3.3 billion this time last year.
“Despite very competitive conditions, the quantity of containers shipped in the period of the report increased over the corresponding period last year by 25.9 percent,” said Israel Corp., the parent company of Zim.
Zim’s variable expenses rose by 20 percent over the same period, more slowly than the increase in container volume and in revenue.
“Zim continued to take efficiency measures, and there has been an improvement in results notwithstanding the increase in ship leasing costs and the high level of fuel prices,” Israel Corp. commented. The shipping line’s financial costs dropped by 29 percent year-on-year, to NIS72.9 million ($16 million), from NIS109.4 million.
For the second quarter of this year, Zim reported a net income of NIS14.8 million ($3 million) on revenues of NIS2.2 billion ($494 million).