Taiwanese liner operator Yang Ming Marine Transport continues to expand its owned fleet by prematurely ending the charters of two 12,000 TEU ships.
The company said in a Taiwan Stock Exchange filing that it has paid US$186 million for theships, barely three years into the 10-year charter
Paraiso Shipping
Yang Ming did not identify the ships, except to say that the vessel owners were Paraiso Shipping, a Panama-incorporated special purpose vehicle of Japanese shipbuilder Imabari Shipping’s tonnage provider affiliate, Shoei Kisen Kaisha, and I-S Container, which is partly owned by Imabari and Century Tokyo Leasing Corporation.
Now cash-rich !
According to VesselsValue, the ships are the 2021-built YM Trust and the 2022-built YM Trophy.These are the seventh and eighth ships that Yang Ming purchased in such a way, since 2023.
Many liner operators are now cash-rich after the Covid-19-fuelled boom and the Red Sea crisis. Yang Ming now has cash holdings of over US$2 billion. The other ships were also acquired from Shoei Kisen-controlled entities and I-S Container.
New management team
Yang Ming, which recently had a new management team, is understood to be reviewing new building orders for 24,000 TEU ships.
Yang Ming, which recently had a new management team, is understood to be reviewing new building orders for 24,000 TEU ships.
Consolidated revenues
On the other hand the consolidated revenues in Q2 stood at NT$ 52.59 billion (US$ 1.65 billion), up by 50% from the same period of last year. The Company’s after-tax net profit and EPS came to NT$ 13.89 billion (US$ 435.6 million) and NT$ 3.98, respectively.
The consolidated revenues for the first half of 2024 reached NT$ 96.39 billion (US$ 3.02 billion), up by 34% from the same period of last year.
Net profit
The Company’s after-tax net profit and EPS for this period were NT$ 23.27 billion (US$ 729.82 million) and NT$ 6.66, respectively. Due to strong demand and increased freight rates in the first half of the year, Yang Ming reported impressive profitability compared to the same period last year.
