Qinhuangdao Port has warned shareholders to expect a substantial fall in net profits for 1H16 on the back of weakened supply and demand in the coal market. Qinhuangdao is China’s main centre for coal shipping.
According to a release to the Hong Kong Stock Exchange, Qinhuangdao’s profits are expected to fall by 80 – 90% for the first six months of the year.
The fall is “mainly attributable to the decrease in revenue of the group resulting from the decline in throughput of coals of Qinhuangdao port, which was cause by the weakened supply and demand in the coal market,” as well as increased competition from surrounding ports.
Edited by Jonathan Rowland.