The Israeli shipping company stated on a starship that despite the recent increase in cargo volume, the container shipping market remained unstable.
In announcing its 2017 full-year results, the company said that mergers and alliances in the industry did help the market recover, but there was still excess capacity in the market. At the same time, there was a partial decline before the end of 2017.
With Star Ferry trying to seize the opportunity of market recovery, it turned a profit in 2017, net profit of 50 million US dollars, compared to a loss of 150 million US dollars in 2016 to achieve a major recovery.glenflange
In 2017, the total revenue of the Star Ferry ships was 2.97 billion U.S. dollars, compared with 2.53 billion U.S. dollars in 2016, an increase of 17% year-on-year. The company's container throughput in 2017 was 2.629 million TEU, an increase of 8% compared to 2016, reaching the highest historical record for the company's container shipping business.
Despite this, the downward trend in freight rates in the last quarter of 2017 led to a net loss of $10 million in the fourth quarter of the year.
Eli Glickman, president and CEO of Starships, said that the company's financial performance has made the company at the top of the shipping industry. It can be seen from the 2017 performance that the Starship Steamship is experiencing a profound change and improvement process in all aspects of a business activity. The company pioneered the introduction of innovative digital solutions that enable it to quickly and effectively meet changing market demands. Star Ferry will continue to improve customer service and reduce costs to achieve profitability. At the same time, long-term excess capacity and rising fuel prices continue to burden the entire industry.