CSAV sinks to loss

Compania Sudamericana de Vapores (CSAV) made a second quarter loss of $58.5m, in figures released late Friday.

The result is 11.2% better than the one obtained during the first quarter this year, when the CSAV recorded a $65.9m loss.

The results were influenced by low freight rates and by the $18.6m loss for the sale of CSAV’s stake in a joint-venture with DryLog.

Nevertheless, CSAV said it achieved further improvements in unit operating costs, which it described as an essential element in its business model.

During the second quarter of 2014, CSAV said freight rates decreased by 9.9% compared to the same period of the previous year.

The Chilean liner operator saw the volume of transported containers rise 13.5% compared to the first quarter of 2014 and 7.9% compared to a year ago.

“The industry continues facing a very complex and unstable freight rate scenario,” said CSAV chief executive Oscar Hasbun.

“In spite of the above, CSAV continues showing a significant improvement in its cost structure, which is in line with the strategy of our new operational model.”