SINGAPORE |
SINGAPORE Aug 1 (Reuters) – Singapore-listed Chinese
shipbuilder COSCO Corp reported a 53 percent fall in
its second quarter net profit on Monday, saying it was hurt by
lower contributions from dry bulk shipping and shipyard
operations as well as higher income tax.
The firm posted net profit of S$31.9 million ($26.6 million)
for the three months ended June, down from S$68.4 million a year
earlier.
“The group maintains a cautious outlook for 2011 as the
global economy remains fragile and its recovery uneven with
growing concerns over the sovereign debt crisis in Europe and
other places,” COSCO said in a statement.
It added that the gradual appreciation of the Chinese yuan
against the U.S. dollar, increasing interest rates and a
potential wage hike in China, as well as greater raw material
prices, may weigh on the operating margins of its shipyard
operations.
($1 = 1.204 Singapore Dollars)
(Reporting by Eveline Danubrata)