Orient Overseas (International) Ltd (OOIL) and its subsidiaries announced a profit attributable to equity holders for 2018 of $ 108.2 million, compared to a profit of $ 137.7 million in 2017.
As per a release, 2018 was a landmark year in the development of OOIL. In July, COSCO SHIPPING Holdings successfully acquired OOIL, with the new combined group stepping up in terms of total capacity and joining the top three in the industry. As at the end of 2018, the combined group operated a fleet comprising 477 container vessels with total shipping capacity of 2.76 million TEUs, and had an order book of nearly 180,000 TEUs.
The acquisition effectively integrated the global network advantage of OOCL and COSCO SHIPPING Lines under COSCO SHIPPING Holdings, beneficial to fully achieving the synergies between the two sides, enriching the product selection for customers and allowing customers to enjoy a better service experience.
OOIL has an outstanding management team, a brand trusted by customers, and efficient management systems. In order to develop these valuable intangible assets in the best possible way, COSCO SHIPPING Holdings formulated a “dual-brand” strategy, which will facilitate synergistic development of the “dual-brand” container shipping business.
OOCL and COSCO SHIPPING Lines cooperated closely with each other to explore and gradually to achieve synergies in a number of areas, including fleet and network planning, procurement, container management, IT, commercial coordination and marine operations. In the second half of 2018, both companies recorded good operating results. The “dual-brand” strategy also provides a bigger and stronger platform for OOCL to further enhance its competitive advantages.
Enjoying the benefit of being part of COSCO SHIPPING Group, OOIL took a pragmatic and entrepreneurial approach to overcoming the effects of these adverse market factors and focused carefully on the targeted strategies in its various markets.
During the year, the Group took delivery of the sixth (and the last) of a total of six ‘Giga’ Class 21,413-TEU vessels from Samsung Heavy Industries shipyard in South Korea. No orders for newbuildings were placed during the year, the release said.
“As we approach the end of the second year of operation of the Ocean Alliance, we can clearly feel the benefits that alliance membership brings in terms of network planning, network scope, vessel utilisation and the management of business risk. With plans for the third year of the alliance’s operation already well advanced, we look forward to further benefit,” the release added.
Directorate General Of Foreign Trade | Ministry Of Commerce And Industry | Government Of India,Trade 