LOCAL cargo carrier Lorenzo Shipping Corp. (LSC) reported a 33% dip in net income to P18.71 million in the first quarter of the year from the same period last year’s P28.17 million.
Operating revenue, on the other hand, was 3% higher to P388.38 million from P337.03 million due to strong volume from institutional accounts.
Higher fuel costs and other terminal expenses caused a 10.2% rise in direct cost, from P332.19 million to P366.16 million.
Other income grew 8.4% to P38.46 million from P35.46 million primarily due to rate adjustments on hauling charges.
Finance costs dropped 32% from P9.37 million to P6.36 million because of comparatively lower interest rates and in part due to lower loan balances.
Earlier, LSC formed a joint venture with sister firm NMC Container Lines that would handle both companies’ cargo-handling services.
One Team Services, Inc will also be responsible for the management of container yards and related support services for the shipping lines.
LSC currently has a local cargo market share of 15%.
