ONE Reports Staggering 1000% Profit Surge Amid Global Shipping Challenges

Ocean Network Express (ONE), the world’s sixth-largest ocean carrier by capacity, reported robust financial results for its second quarter of FY2024 (July to September). The company’s revenue soared to $5.9 billion, marking a 65% year-over-year increase. Even more impressive, ONE’s net profit skyrocketed to $2 billion—a staggering 1000% jump from the same period last year.

Strong demand in Asia-North America and Asia-Europe trades, driven by consistent consumer demand and an early peak season, has been a key factor in ONE’s Q2 performance. The company also noted that early shipments in North American trade were influenced by potential supply chain disruptions.

Despite these positive results, ONE faces ongoing challenges. The persistent rerouting of vessels around the Cape of Good Hope due to Houthi attacks on shipping continues to impact operations. Additionally, the market has experienced a softening in the overall supply-demand situation towards the end of the second quarter, attributed to continuous capacity increases.

Looking ahead, ONE has revised its full-year net profit guidance for FY2024 to US $3.1 billion, up from the previously announced US $2.7 billion. However, the company remains cautious about future market conditions.

“In addition to the current geopolitical situation, the industry faces added uncertainty around the final outcome of the USA elections and USEC port labour situation,” said Jeremy Nixon, CEO of Ocean Network Express.

“ONE will continue to closely monitor evolving macro conditions and maintain an agile and effective control of its global operations and customer service delivery performance,” Nixon added.

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