[121112.EN.SEA] Matson Q3 Operating Profit Rises 10.6pc To US$30.2 Million, Sales Up 5.4pc

HONOLULU based Matson Line posted a 10.6 per cent increase in third quarter operating profit to US$30.2 million, drawn on revenues of $401.4 million, up 5.46 per cent.

Net profit came to $19.1 million. The result was "negatively impacted by a $0.3 million expense arising from Matson's separation from A&B and by the $6.1 million cost resulting from the shutdown of the company's CLX2 service."

If these expenses were included, the operating income shrank $2.5 million in the third quarter 2012 year on year, said the company statement.

"We saw continued rate and volume strength in our expedited service from China, continued strong Guam volume and modest volume improvement in our Hawaii trade. These gains, while encouraging, were largely offset by increased expenses," said Matson president and CEO Matt Cox.

"Our balance sheet strength and strong cash flow generation support a strong dividend while providing ample capacity for future investments in our people, our businesses and new markets," Mr Cox said.

For the first nine months of 2012, Matson reported a net profit of $30.3 million, down seven per cent from the net profit of $32.6 million one year ago.

Consolidated revenues for the first nine months were $1.16 billion, up 6.8 per cent compared with $1.08 billion reported for the first nine months of 2011.

Operating profit from January-September period was $72.8 million, up nine per cent year on year. However, Matson said its nine-month operating profit was also negatively impacted by expenses of $8.6 million associated with the company's separation from A&B and $0.5 million related to the shutdown of the Company's CLX2 service.

Source : HKSG.