HMM announces record profits

Hyundai Merchant Marine (HMM) announced its biggest net profits for the first quarter since its establishment.

HMM announced on May 6, that it had 1,235.7 billion won in sales, 150.7 billion won in business profits, and 189.6 billion won in ordinary profits for the period. Especially, the current net profit recorded 155.8 billion won, and increase of 52.4% as compared with the same period of last year, a new record for the company.

The result is more meaningful because HMM managed the new record during a difficult situation with a weak dollar and oil prices rising.

It would have been normal for sales and profits to decrease over 10% because oil prices increased compared with the same period of last year, and the exchange rate of the won decreased. Instead, HMM had steady sales increases and profits jumped. The company said that the first quarter earnings were a surprise because net profits increased 52.4% compared with the same period of last year, a previous record.

Also, they thanked shipping rate increases, competitive power improvements in each business division and decreases of extra business costs like interest and others.

President Roh Jeong Ik of HMM said in a letter to stock holders, "I have requested that our members prepare ordinary risk management because global shipping conditions are not good," and added, "Our members will also try their best for growth."