Group company, Shreyas Shipping and Logistics Ltd has reported 93% jump in
Profit After Tax(PAT) at Rs 20.46 crore for June ended 2017 quarter against PAT
of Rs 10.62 crore recorded during March ended 2017 quarter. The company has
logged Rs 4.87 crore PAT for June ended 2016 quarter, says a release on 14th August.
has posted encouraging numbers during the current quarter. The operating
revenues increased to Rs 117.86 crore which is 23% increase over quarter ended
31st March 2017 and 39% increase over the quarter ended 30th June
momentum was largely driven by higher volumes and increase in freight rates. On
anticipated lines, the vessel utilisation levels have increased despite
increased tonnage. This demonstrated the growth in overall volumes shipped and
the potential of coastal container shipping in India. The bunker prices
remained moderate during the quarter, allowing the company to maintain its
operational costs. Globally, the environment has improved over the second half
of the previous year. The charter hire rates and the scrap rates have seen a
positive uptrend since the beginning of the year.
reached during the review quarter
achievements during the quarter include signing of joint venture agreement with
Suzue Corporation, Japan on 12th June, 2017 in Mumbai for
undertaking international freight forwarding, custom clearance service and
other land logistic services. Signing of MoU to purchase a Multipurpose
vessel of 17,472 DWT, with an intention to explore new opportunities through
diversification into coastal break bulk trade; the vessel is expected to be
delivered in Sept 2017. The company has bagged contract from Rashtriya
Ispat Nigam Ltd(RINL) worth Rs 72 crores for transporting 225,000 Tons products
from its plant at Visakhapatnam to stockyards in Ahmedabad, Mumbai and Kochi to
further strengthen our plans of venturing into coastal break bulk trade.
the performance, S Ramakrishnan, Chairman and Managing Director says: “Our
Strategic focus towards developing coastal trade as well as feeder services on
the East Coast has resulted in strengthening of volumes and utilization levels
on ECC service. The signing of MoU for the MPP Vessel purchase and RINL’s
contact are our initial steps towards exploring the immense growth potential in
the coastal bulk trade. We will continue to strengthen our existing services
and maintain our growth momentum in the coming quarters”.
the company intends to commence and strengthen its coastal MPP business.
Besides, it will also expand container and MPP into other regional areas in
addition to growth in the container tonnage and overall business.
Developments During June 2017 Qtr
Container Index increased in the month of March but reverted to downward trend
in the following months. The carter hire and the scrap prices that softened in
the last two months of the quarter have reverted to upward trend currently.
levels were still running short of what was scheduled at the start of the year
with 80 ships (or 592,000 teu) delivered up to late July and the net of
scrapping this equates to fleet growth of 1.4%. However, around 1.1 million teu
are estimated to enter service in 2017 with 450,000 being scrapped.
Global utilization scenario reveals that services from North to South and West
to East remained at the level of around 97% and on the reverse leg was around
70 to 75% post deployment of increased capacity acquired during the quarter.
Utilization level on the ECC service from South to North was around 89% and on
reverse leg was 67%. During the period, Shreyas has drydocked SSL BHARAT and
SSL Mumbai. Smooth co-operation with SCI and SIMATECH for providing better
frequency to the customers and tonnage rationalisation. The SSL Sagarmala has
lived her life and may not be advisable to take her through next special
survey; to be scrapped by Dec 2017 and the expected loss on sale is included
under the exceptional item.