Zim posted a 5% increase in revenue to $778 million compared to $736 millions in the corresponding quarter. Net profit was $28 million compared to $62 million in the corresponding quarter - a drastic fall of 55%
Israel Corp. (IC), one of Israel’s leading holding companies published last week its financial report for the third quarter of 2006. The company posted a net profit of NIS 223 million on NIS 7.2 billion revenue, compared with a net profit of NIS 563 million on NIS 6.6 billion revenue for the corresponding quarter of 2005.
IC’s primary focus is on Chemicals, Shipping, Semiconductors and Energy.
The company’s subsidiaries include Israel Chemicals Ltd.(ICL), a global fertilizers and specialty chemicals company, and a world leader in many of its market segments.
Zim Integrated Shipping Services Ltd.(ZIM), one of the world’s largest container-shipping companies.
Tower Semiconductor Ltd. (TOWER), a pure-play independent specialty foundry. Two of these companies reported relatively poor third quarter results: Israel Chemicals profit fell 34% from the corresponding quarter to $95 million, and Zim’s profit fell 54% to $39 million. On the other hand, Tower posted a profit of $39 million, compared with a loss of $55 million for the corresponding quarter.
Zim posted a 5% increase in revenue to $778 million compared to $736 millions in the corresponding quarter. Net profit was $28 million compared to $62 million in the corresponding quarter a drastic fall of 55%. The company said the average freight rate for shipping containers was 2.7% less during the third quarter than in the corresponding quarter, but that the number of containers the company handled rose to 521,000 from 501,000 containers.
Zim added that fuel prices were 29% higher in the third quarter than in the corresponding quarter of last year. Earlier this year the company announced its expansion Program which include eight vessels of 4,250 TEU which will join the fleet in 2007 that will upgrade the global service, Asia-Med-Pacific and 4 vessels of 6,350 TEU in 2008-9. An additional 9 new vessels, 4X8,200 and 5x10,000 TEU from Hyundai Shipyards in Korea, are scheduled for delivery during the second half of 2009.The acquisition is a significant step in Zim’s 5-year strategic plan, as outlined by the Board of Directors, and which calls for doubling Zim’s carriage capacity while increasing profitability.