GE Shipping Q2 net profit jumps 46%

GE Shipping Q2 net profit jumps 46%

The net profit of Great Eastern Shipping Co. Ltd (GE Shipping), India’s biggest private shipping firm by fleet size and revenues, jumped 45.57% to Rs342.79 crore for the July-September quarter from Rs235.48 crore a year earlier as higher earnings from dry bulk carriers helped offset a decline in revenues from tankers carrying crude oil and petroleum products.

At a meeting held on Friday, the company’s board of directors declared an interim dividend of Rs4 a share. GE Shipping closed at Rs395.65 a share on the Bombay Stock Exchange, down 2.12% from Thursday’s close in a weak Mumbai market.

The company operates a fleet of 12 dry bulk carriers, 14 crude carriers, 20 product tankers and two LPG carriers.

Revenues rose 36% to Rs806.16 crore from Rs591.19 crore during the corresponding period last year. Average earnings from operating product carriers dropped 7% on a year-on-year basis to $19,337 a day (Rs769,613) from $20,834 a year ago. Average earnings from its crude carrier fleet fell 0.56% to $31,836 per day from $32,015 a year earlier. The average gas carrier earnings also dropped 8% to $15,018 per day from $16,386 a year ago.

However, average earnings for shipping dry bulk commodities such as coal, steel and ore rose 105% to $31,173 a day from $15,231 a year ago on the back of strong demand in the spot market and congestion at major loading ports.