HMM said on May 13 that its consolidation basis operating profit for the first quarter this year was tentatively tallied at 269.1 billion won, down 56% from the same period last year.
Revenue for the same period was 2.7187 trillion won, down 4.8%, and net profit was tentatively tallied at 353.6 billion won, down 52%.
HMM said the earnings deterioration was affected by the seasonal off-peak period with lower consumer goods cargo demand, as well as revenue losses from the Middle East situation and higher costs such as fuel.
In particular, based on the Singapore high-sulfur fuel oil (380 CST) spot transaction price, oil rose 9% from $486 per ton in the first quarter last year to $530 per ton in the first quarter this year.
HMM said that as vessel supply increases, expenses are rising due to the Middle East situation and market uncertainty is expanding because of U.S. tariff policy, and it will enhance profitability by optimizing fuel costs and operating crude oil carriers.