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Lorenzo Shipping loss widens in 2021
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The domestic carrier posted a net loss of P84.58 million in 2021, 24% more than P68.25 million net loss posted in 2020
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Freight revenue for 2021 grew 8% due to higher volume
Domestic carrier Lorenzo Shipping Corp.’s (LSC) loss widened to P84.58 million in 2021, up 24% from the P68.25 million net loss posted in 2020.
While freight revenue for 2021 grew 8% to P2.87 billion from P2.66 billion revenues in 2020, total operating expense grew faster at 10% to P2.82 billion from 2020’s P2.56 billion.
The growth in freight revenue and direct cost was due to higher volume from increased economic activities with the easing of quarantine restrictions, LSC said in a regulatory disclosure.
The domestic carrier ended with a gross profit of P51.5 million, down 48% from P98.2 million in 2020.
LSC said it experienced full recovery in the first quarter of 2021 as evidenced by a substantial net income. The company said this meant programs implemented during the start of the pandemic in 2020 bore fruit. But a second major COVID-19 surge during the second quarter again limited domestic movement and consumption for an extended period compared to the previous year.
READ: Lorenzo Shipping cuts Jan-Sept loss to P78M as volume grows
LSC owns a fleet of five vessels and four vessels under a transport service contract deployed to key ports in Manila, Visayas and Mindanao. The carrier’s vessels have a capacity ranging from 300 twenty-foot equivalent units (TEUs) to 797 TEUs with speeds of 11 knots to 15 knots. It also owns various types of equipment as well as facilities for handling cargoes, including land-based forklifts, top lifts, trucks, container yards, and warehouses at its branches and agencies.
