Shipping/STX Pan Ocean: Korea Line Corp, South Korea’s 2nd largest operator of dry bulk carriers, has filed for receivership after several quarters of losses due to long term contracts for its chartered-in vessels locked in at high costs & exacerbated by plunging bulker rates. Dry-bulk rates have dived 58% in the past year to its lowest level in more than 2 yrs amid an expanding global fleet & slowing demand for commodities in China as rising prices for coking coal & iron ore curbed demand.
The Baltic Dry Index fell to 1,292 yday, the lowest since Feb 09 vs peak of 11,793 achieved in May 08. STX Pan Ocean, South Korea’s largest dry-bulk operator, has turned around from losses in 2009 & is expected to remain profitable. Stock is trading at 22.5x & 15.3x FY10 & FY11 P/Es r’pectively & P/B of 0.9x. STX OSV does not building bulk carriers, only offshore support vessels.
STX Offshore & Shipbuilding has orders for a VLCC & a capsize ship from Korea Line but the yard has not started
work on either vessel.
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wondering why this counter selling off still got such good buying price and rising still ...
Why did STX OSV has much fear of falling price?
STX Pan Ocean Co. Ltd announced that the Company has on 11 October 2011 entered into a Contract of Affreightment (“COA”) with Fibria Celulose S.A. (“Fibria”) in respect of transportation of woodpulp at sales scale of around USD246million. The loading of woodpulp will take place in Brazil . The duration of the contract is for approximately 3 years from January 1, 2012. The main objective of the Company for entering into the COA is to make a smooth entry into the business of woodpulp transportation prior to the Company’s Consecutive Voyage Contract with Fibria, which was announced on October 19, 2010. (S$8.49, -0.1%)
STX Offshore & Shipbuilding close to winning up to $2.8 bln order -report
SEOUL, April 25 (Reuters) - South Korea's STX Offshore & Shipbuilding is close to winning up to a $2.8 billion container ship order from Canada's Seaspan Corp , a local newspaper said on Monday.
STX signed a letter of intent for a deal to build ten 14,000 TEU (twenty-foot equivalent units) sized carriers, each worth $140 million, which also includes a 10-vessel option, Maeil Business Newspaper said in an online edition.
A spokesman at parent STX Group said the company could not confirm the report. (Reporting by Ju-min Park Editing by Jacqueline Wong)
STX signed a letter of intent for a deal to build ten 14,000 TEU (twenty-foot equivalent units) sized carriers, each worth $140 million, which also includes a 10-vessel option, Maeil Business Newspaper said in an online edition.
A spokesman at parent STX Group said the company could not confirm the report. (Reporting by Ju-min Park Editing by Jacqueline Wong)
STX Pan Ocean Co., Ltd. announced that it has acquired 99.1%, being 109 shares in the total issued and paid-up capital of STX Gulf Shipping DMCCO from STX Pan Ocean Singapore Pte. Ltd., a wholly-owned subsidiary of the Company at a total consideration of US$4,781,000. The remaining 0.9%, being 1 share in the total issued and paid-up capital of STX Gulf will be acquired by STX Pan Ocean Singapore Pte. Ltd. from its ex-representative, Mr. Im Yeop Choi. (Closing price: $10.740)
/sgx
//**
Diversify your portfolio, invest in land and get a handsome return of 15-20% p.a. in 4 to 5 years.
Compared with local banks FD still ard 0.9% p.a.
Where is it?
http://www.youtube.com/watch?v=kMOvjDJeOuQ
How? Msg(Contact) me here for details.
STX Pan Ocean | |
Quick takes - Hit by higher costs - by Raymond Yap CFA | |
(STX SP / STXP.SI, UNDERPERFORM - Maintained, S$11.80 - Tgt. S$13.20, Dry Bulk Shipping) | |
Maintain UNDERPERFORM and target price of S$13.20. STXPO released a brief statement on its full-year results last evening. Based on the full-year reported net profit of US$70m, we estimate its 2010 core net profit at US$55m, 13% below our estimate. This implies that actual 4Q10 core net profit was 50% below our forecast. We were negatively surprised by this poor performance, and cost pressures appear to have exerted a heavy influence. For now, we maintain our Underperform rating, earnings estimates and target price, as we await the publication of its full set of financial statements and the analysts' briefing this morning. We may downgrade earnings by 10-15% and target price (based on a 10% discount to its sum-of-the-parts) by a lower percentage. Potential de-rating catalysts include an expected multi-year weakness in bulk and tanker freight rates. |
STX Pan Ocean Co., South Korea’s largest dry-bulk shipping line, reported a 79% drop in fourth-quarter profit as an expanding global fleet and China’s slowing demand for commodities sapped rates.
Net income fell to US$7 million ($8.95 million) from US$33 million a year earlier, the Seoul-based shipping line said in a statement today. Sales rose 42% to US$1.49 billion.
Net income fell to US$7 million ($8.95 million) from US$33 million a year earlier, the Seoul-based shipping line said in a statement today. Sales rose 42% to US$1.49 billion.
Global dry-bulk rates averaged 30% lower than a year earlier as China tightened credit to combat inflation, damping demand for shipments of iron ore. The plunging rates and an oversupply of ships forced Korea Line Corp., South Korea’s No. 2 bulk shipping line, to seek court protection from creditors last month.
“There’s no sign that the supply glut will ease any time soon,” said Kim Jeong Eun, a Seoul-based analyst at HMC Investment Securities Co. STX Pan Ocean may make an operating loss in the current quarter, she said.
In the fourth quarter, operating profit, or sales minus the cost of goods sold and administrative expenses, rose 8% to US$13 million from US$12 million profit a year earlier, STX Pan Ocean said.
The shipping line fell as much as 2.4% to 10,300 won in Seoul trading and traded at 10,400 won as of 3:39 p.m. The company’s Singapore-listed shares declined 0.9% to $11.70 as of the 2:40 p.m., local time.
The Baltic Dry Index, a measure of rates for vessels used to ship iron ore, coal and other commodities, averaged 2,364 in the quarter ended December compared with 3,401 a year earlier. It rose 2.8% to 1,271 in London yesterday.
China’s iron ore imports in 2010 fell 1.4% to 620 million metric tons, the first annual decline since 1998, the customs agency said Jan. 10 on its website.
STX PO is just related to STXOSV....but stxosv went up today and stx po dropped to $12.50 from $13...neverthless still profitable.
STX PAN OCEAN CO., LTD.
(Incorporated in the Republic of Korea) THIRD QUARTER FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT FOR THE PERIOD ENDED 30 SEPTEMBER 2010 PART I INFORMATION REQUIRED FOR THIRD QUARTER ANNOUNCEMENT 1.(a)(i) A statement of comprehensive income (for the Group), together with a comparative statement for the corresponding period of the immediately preceding financial year. For the third quarter and 9 months ended 30 September 2010 (in thousands of US$) N/M : Not meaningful 1.(a)(ii) Notes to the Statement of Comprehensive Income (in thousands of US$). 2010 2009 % 2010 2009 % Three months Three months Nine months Nine months ended 30 September ended 30 September ended 30 September ended 30 September Profit before income tax is arrived at after (charging) / crediting following :(A) Valuation gain(loss) on FFAs, net (930) (3,892) -76.1% (1,608) 105 N/M (B) Transaction gain(loss) on FFAs, net 2,641 (596) N/M 2,084 (2,108) N/M (C)Profit or loss on disposal and valuation of vessels, properties and equipment 676 (187) N/M 6,455 4,623 39.6% (D)Foreign exchange gain/loss (where applicable) 985 4,754 -79.3% 73 2,724 -97.3% (E) Other gains(losses) (2,553) 1,417 N/M (8,045) (4,017) 100.3% Total other operating income(losses), net : (A+B+C+D+E) 819 1,496 -45.3% (1,041) 1,327 N/M (F)Depreciation and amortisation (29,430) (21,968) 34.0% (79,360) (61,343) 29.4% (G)Allowance for doubtful debts and bad debts written off (3,547) 561 N/M (440) 4,423 N/M FFAs : Forward Freight Agreements N/M : Not meaningful The Group The Group 3 1.(b)(i) A statement of financial position (for the issuer and group), together with a comparative statement as at the end of the immediately preceding financial year (in thousands of US$). 1.(b)(ii) Aggregate amount of group’s borrowings and debt securities(in thousands of US$) . Secured Unsecured Secured Unsecured Amount repayable in one year or less 550,102 174,951 391,103 128,345 Amount repayable after one year 1,286,313 535,186 937,009 525,781 1,836,415 710,137 1,328,112 654,126 At 30 September 2010 At 31 December 2009 The Group The Group Details of collateral The Group's borrowings are secured by way of : - legal mortgages over certain vessels or building and land of the Group ; and - legal charges over certain bank accounts 5 1.(c) A cash flow statement (for the group), together with a comparative statement for the corresponding period of the immediately preceding financial year (in thousands of US$). 2010 2009 Cash flows from operating activities Cash generated from (used in) operations 63,049 (78,954) Interest paid (64,466) (32,658) Income tax paid (767) (8,146) Net cash generated from (used in) operating activities (2,184) (119,758) Cash flows from investing activities Acquisition of vessels, property and equipment (249,636) (162,780) Acquisition of intangible assets (27) (1,184) Proceeds from sale of property and equipment 11,781 7,514 Proceeds from sale of intangible assets 121 579 Acquisition of other financial assets (599,630) (906,264) Proceeds from sale of other financial assets 706,594 672,317 Acquisition of investments in associates and joint ventures (19,370) (10,437) Proceeds from sale of subsidiary, net of cash disposed of (179) - Acquisition of subsidiary net of cash acquired - 1,243 Loans provided (10,639) (25,299) Interest received 25,170 13,625 Others, net (6,755) (5,582) Net cash used in investing activities (142,570) (416,268) Cash flows from financing activities Proceeds from borrowings 708,422 754,866 Repayments of borrowings (526,351) (105,083) Dividend paid to Company‟s shareholders (17,932) (53,751) Net cash provided by financing activities 164,139 596,032 Net (decrease)/increase in cash and cash equivalents 19,385 60,006 Cash and cash equivalents at beginning of the year 611,662 415,985 Effect of exchange rate fluctuations on cash held 14,137 (1,107) Cash and cash equivalents at end of the period 645,184 474,884 The Group Nine months ended 30 September 6 1.(d) (i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from capitalization issues and distributions to shareholders, together with a comparative statement for the corresponding period of the immediately preceding financial year (in thousands of US$) Share capital Share premium Treasury shares Other reserves Retained earnings Total Non-controlling Interest Total equity Balance as of January 1, 2009 170,895 701,190 (25,272) (7,330) 1,346,061 2,185,544 4,494 2,190,038 Total comprehensive income for the period - Profit or loss for the period - - - - (95,348) (95,348) 964 (94,384) Other comprehensive income Foreign currency translation differences - - - (3,540) - (3,540) (136) (3,676) Net change in fair value of available-for-sale financial assets, net of tax - - - (13,435) - (13,435) - (13,435) Net change in fair value of derivative - - - 476 - 476 - 476 Assets, net of tax Reclassification adjustment - - - 14,757 - 14,757 - 14,757 Total other comprehensive income - - - (1,742) - (1,742) (136) (1,878) Total comprehensive income for the period - - - (1,742) (95,348) (97,090) 828 (96,262) Transactions with equity holder, recorded directly in equity Contributions by and distributions to owners Dividends to equity holders - - - - (53,751) (53,751) - (53,751) New subsidiary incorporated during the period - - - - - - 1,533 1,533 Total contributions by and distributions to owners - - - - (53,751) (53,751) 1,533 (52,218) Balance as of Sep 30, 2009 170,895 701,190 (25,272) (9,072) 1,196,962 2,034,703 6,855 2,041,558
krisluke ( Date: 26-Jan-2011 12:54) Posted:
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Shipping/STX Pan Ocean
Shipping/STX Pan Ocean: Korea Line Corp, South Korea’s 2nd largest operator of dry bulk carriers, has filed for receivership after several quarters of losses due to long term contracts for its chartered-in vessels locked in at high costs & exacerbated by plunging bulker rates. Dry-bulk rates have dived 58% in the past year to its lowest level in more than 2 yrs amid an expanding global fleet & slowing demand for commodities in China as rising prices for coking coal & iron ore curbed demand.
The Baltic Dry Index fell to 1,292 yday, the lowest since Feb 09 vs peak of 11,793 achieved in May 08. STX Pan Ocean, South Korea’s largest dry-bulk operator, has turned around from losses in 2009 & is expected to remain profitable. Stock is trading at 22.5x & 15.3x FY10 & FY11 P/Es r’pectively & P/B of 0.9x. STX OSV does not building bulk carriers, only offshore support vessels.
STX Offshore & Shipbuilding has orders for a VLCC & a capsize ship from Korea Line but the yard has not started
work on either vessel.
The Baltic Dry Index fell to 1,292 yday, the lowest since Feb 09 vs peak of 11,793 achieved in May 08. STX Pan Ocean, South Korea’s largest dry-bulk operator, has turned around from losses in 2009 & is expected to remain profitable. Stock is trading at 22.5x & 15.3x FY10 & FY11 P/Es r’pectively & P/B of 0.9x. STX OSV does not building bulk carriers, only offshore support vessels.
STX Offshore & Shipbuilding has orders for a VLCC & a capsize ship from Korea Line but the yard has not started
work on either vessel.
i very sad, 1 and 1/2 years bought 5 lots of STXPO at $13000 plus now they convert me to 500 units only and price at $13 plus, worst share i ever buy, sign
Wow now closed $16.00 dollars (in 100 shr) in support of it sis Co - STX Osv ipo offering at 0.79c
| STXPO 100 | 15.520 | 16.000 | +0.680c | +4.4% | Volume - 43,900 |
If i dare to buy last friday at $15,wow now would have earn kopi money.
Omega Navigation is similar to a shipping trust like Rickmers or FSL Trust.
STX PO is a shipping line.
They are 2 different companies. STX PO is a multi-billion dollar company while Omega Navigation is a small cap company.
Omega used to be at above $20,im interested in STX but afraid it will follow Omega pattern.
Omega Navigation deals with tankers while STX PO deals mainly with dry bulkers and container vessels.
Anyone noe what the different between stx and Omega nav ent.
STX PO is the blue chip of the dry bulkers listed in SGX. Its liquidity is low since over 90% of its shares are in the Korean Stock Exchange.
Thanks so much.
beidou ( Date: 19-Mar-2010 18:22) Posted:
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NAV is $15 if I am not wrong.
Cash value is $4.5. Yield is 0.88%.
The company is not doing too well last year due to economy crisis but Mgt is more bullish for 2010.
The share price of this counter mirrors the movement of the Baltic rates. When it moves up, so is the share price. But this counter is good to punt because it moves very fast within a range e.g. from about $13 to $16. So u may be able to make some money if you buy when it is around $13; sell when it hits $15 or $16 depending on your profit targets.
Anyone noe what it NAV of this counter and is it worth to buy,many thanks.
STX Pan Ocean Co, South Korea's largest bulk-shipping line, posted a fourth-quarter profit as Chinese demand for coal and iron-ore shipments boosted freight rates.
Net income of US$33 million compared with a loss of US$95 million a year earlier, the Seoul-based shipping line said in a statement yesterday.
Sales dropped 40 per cent to US$1.05 billion.
The Baltic Dry Index, a measure of commodity-shipping rates, averaged 3,401 in the past quarter, almost triple the level a year earlier, as Chinese demand for raw materials rebounded from a slump caused by the global recession and the credit crunch.
The pick-up caused Mitsui OSK, operator of the world's largest merchant fleet, to more than double its fiscal-year profit forecast last month.
'STX Pan Ocean has benefited from a recovery in steel production,' said Um Kyung A, a Seoul-based analyst at Shinyoung Securities Co.
'Rates and STX Pan Ocean's earnings will be probably both remain stable this year,' the analyst said.
The Baltic Dry Index will probably average between 3,000 and 3,500 this year, she added.
The index rose 2.4 per cent to 2,661 on Wednesday in London.
STX Pan Ocean's operating profit, or sales minus the cost of goods sold and administrative expenses, totalled US$12 million in the October-December quarter, compared with a US$58 million loss a year earlier, the company said.
'We expect the dry bulk demand this year to grow 5 per cent to 6 per cent on Chinese demand and overall market condition to improve from 2009,' STX Pan Ocean said in the statement
Net income of US$33 million compared with a loss of US$95 million a year earlier, the Seoul-based shipping line said in a statement yesterday.
Sales dropped 40 per cent to US$1.05 billion.
The Baltic Dry Index, a measure of commodity-shipping rates, averaged 3,401 in the past quarter, almost triple the level a year earlier, as Chinese demand for raw materials rebounded from a slump caused by the global recession and the credit crunch.
The pick-up caused Mitsui OSK, operator of the world's largest merchant fleet, to more than double its fiscal-year profit forecast last month.
'STX Pan Ocean has benefited from a recovery in steel production,' said Um Kyung A, a Seoul-based analyst at Shinyoung Securities Co.
'Rates and STX Pan Ocean's earnings will be probably both remain stable this year,' the analyst said.
The Baltic Dry Index will probably average between 3,000 and 3,500 this year, she added.
The index rose 2.4 per cent to 2,661 on Wednesday in London.
STX Pan Ocean's operating profit, or sales minus the cost of goods sold and administrative expenses, totalled US$12 million in the October-December quarter, compared with a US$58 million loss a year earlier, the company said.
'We expect the dry bulk demand this year to grow 5 per cent to 6 per cent on Chinese demand and overall market condition to improve from 2009,' STX Pan Ocean said in the statement