HMM's improving signs

Hyundai Merchant Marine (HMM) has posted an improving picture, with the second quarter more than making up for weaknesses experienced in the January/end-March period.

In fact the company first six months was a very mixed affair. While operating profit for the first half of 2007 jumped almost 30% to Kwon117.9 billion (USD127.6 million), turnover was static at Kwon2.3 trillion (USD2.5 billion) and net profit actually fell, declining more than 20% to Kwon113.4 billion (USD122.7 million).

However, the company said that the latter was entirely attributable to currency fluctuations, with the Korean won up about 6% against the US dollar this year.

In the second quarter, though, all of the company? key financial parameters were significantly higher than in the corresponding period of 2006, with:

· Turnover of KWon1.2 trillion (USD1.3 billion) - +8.9%

· Operating income of KWon 60 billion (USD64.9 million), from a loss of KWon7.4 billion

· Net income of KWon122.4 billion (USD132.5 million) - + 2,561%

Jeong-ik Noh, HMM president and ceo, expects the recovery to continue in the third quarter as the peak season kicks in. In addition, we have been deploying new large containerships and have launched new services,she said, plus we have established new subsidiaries in Italy and Vietnam.

Currently, HMM is the world 17th largest liner company with an operating slot capacity of approximately 175,000TEU.