CAO's net plunges 66.5% to US$7.32m in third quarter

Singapore

CHINA Aviation Oil (Singapore) (CAO) has posted a 66.5 per cent drop in net profit to US$7.32 million for the third quarter, weighed down by operating losses and lower contribution from its associates. The jet fuel trader incurred an operating loss of US$7.54 million in Q3 2014 - about five times the US$1.53 million loss incurred in the corresponding quarter in 2013.

The operating loss was mainly due to a lower US$2.84 million in gross profit, compared with US$7.12 million in the same period last year. This was mostly attributable to losses incurred in trading of other oil products as demand for fuel oil remained depressed.