Ocean Network Express (ONE) has revealed its financial results for FY2023, which show a 50 per cent decline in revenue.
The revenue for FY2023 was $14.53 billion, a 50 per cent decrease from the previous year, with a net profit of $974 million and a year-over-year (YoY) loss of $14.02 billion.
Short-term freight rates continued to fall owing to slow cargo movements and supply-side pressure as new vessel deliveries continued.
However, freight prices increased in Q4 due to geopolitical risks in the Middle East.
The full-year profit prediction for FY2024 is predicted to be about $1 billion, a small rise from the previous year since the present economic and geopolitical scenario is expected to persist for some time.
Jeremy Nixon, CEO of Ocean Network Express said: “We will continue to monitor the situation carefully, focusing on maximising profit by flexible tonnage deployment and efficient equipment control based on demand.”
This month, ONE announced the launch of its reduced emissions shipping service, ONE LEAF+, designed to push decarbonisation within the shipping industry.