NOL's Q4 net loss balloons to US$137m

SHIPPING and logistics group Neptune Orient Lines Ltd (NOL) sank deeper into the red with a 51 per cent increase in net loss to US$137 million for the fourth quarter ended December, attributed to lower liner revenue, a jump in administrative expenses and restructuring costs.

For the three months, group revenue declined by 7 per cent year on year to US$2.33 billion as liner revenue decreased on capacity management and lower freight rates.

Management said Q4 FY2013's cost of sales fell 7 per cent to US$2.21 billion on operational cost efficiencies and lower bunker prices, which led to a one per cent rise in gross profit to US$126.7 million; gross profit margins were maintained at 5 per cent.