Yang Ming's profit in the third quarter was better than that in the first half of the year, with EPS of 5.32 yuan hitting an 11-quarter high.
Yang Ming's consolidated revenue in the third quarter was 64.147 billion yuan, with net profit after tax of 18.566 billion yuan and EPS of 5.32 yuan, beating the 2.24 yuan in the first half of the year, setting a new high in the fourth quarter of 2024 and 11 quarters. The cumulative consolidated revenue in the first three quarters was 148.731 billion yuan, the net profit after tax was 25.735 billion yuan, and the EPS in the first three quarters was 7.37 yuan.
Today, Yang Ming's board of directors also approved the purchase of real estate in Singapore and donated 15 million yuan to the National Kaohsiung University of Science and Technology. Yang Ming pointed out that considering that Singapore is an important transshipment port in Asia for Yang Ming Shipping, in order to facilitate the long-term development needs of the regional center business, Yang Ming (Singapore), which is 100% owned by Yang Ming Shipping, was authorized to purchase its own local office to facilitate long-term business development and facilitate customer service.
Yang Ming said that market demand remained relatively stable in the fourth quarter, and due to the early arrival of the Lunar New Year next year, a wave of shipments is expected to arrive at the end of the year. In addition, some ports continue to face transportation supply chain bottlenecks, which will help maintain market momentum. Looking forward to 2027, as new ships are delivered one after another, Drewry predicts that supply and demand will grow by 8.8% and 6.2% respectively. Geopolitical changes, US-China tariffs, terminal labor negotiations and operating efficiency, and changes in oil prices will be the key factors affecting changes in the shipping market. The International Maritime Organization (IMO) continues to promote net-zero shipping and the carbon emission regulations set by the European Union and the United Kingdom. It is expected that the industry will promote the slowdown of ships and accelerate the retirement of old tonnage, thereby forming a structural contraction of shipping capacity supply.
Yang Ming pointed out that the shipping market has benefited from the increase in import booking demand from Europe and the United States since the second quarter, and the shipment momentum has continued into the traditional peak season in the third quarter. In addition, factors such as congestion at major ports and routes detouring around the Cape of Good Hope have compressed the effective supply of shipping capacity in the market. Overall operating performance in the first three quarters has increased in volume and freight compared with the same period last year, and consolidated revenue has increased by approximately 18%.
Yang Ming said that data from the September Economic Outlook Report of the Organization for Economic Cooperation and Development (OECD) also show a growth trend next year compared with this year. It shows that in the environment of geopolitical conflicts and changes in trade policies, oil-producing countries in non-conflict areas have taken measures such as releasing production capacity, detouring shipping, and deploying alternative ports to reduce energy costs and disperse inflationary pressure. At the same time, the rise of the AI industry has also brought related investment injections to the market, and economic performance has shown resilience. However, we still need to pay attention to risks such as the continued conflict in the Middle East, energy and supply chain crises, cooling investment in AI, and financial vulnerabilities of various countries, which may impact global economic and trade growth.
