Chelsea narrows losses in H1 to P1B on increased freight activity

Better revenues, supported by the freight and passenger segments, allowed Chelsea Logistics and Infrastructure Holdings Corp. to cut its losses in the first half, which is seen as the beginning of its recovery.

On Monday, the listed logistics company reported that its net losses in the first semester narrowed to P1 billion from P1.07 billion a year ago.

“Despite increases in our costs, the strong growth in our revenues was able to narrow our losses on a year to-date basis,” Chelsea president and CEO Chryss Alfonsus V. Damuy said.

Total revenues were up 37 percent to P2.91 billion for the period from previous year’s P2.13 billion as nearly all of its revenue channels booked some gains.

Revenues from freight business improved by 57 percent to P1.59 billion while passenger segment saw its topline figures surge by 297 percent to P516.53 million for the period amid the easing of mobility restrictions.

Higher fees

Tugboat fees inched up 6 percent to P172.72 million while other service revenues rose by 14 percent to P274.47 million. Charter fees, however, slid 6 percent to P307.65 million.

Cost of sales and services were up 16 percent to P2.64 billion in the first half, driven by bunkering costs, repairs and maintenance and port expenses, among others.

“With the continued reopening of the economy, we are launching Chelsea Travel, our unified online booking system for passengers to further accelerate the recovery of our passage business,” Damuy said.

Chelsea, earlier this month, launched a QR (quick response) code that passengers of its shipping lines Starlite Ferries Inc., SuperCat Fast Ferry Corp. and Trans-Asia Shipping Lines can scan to be able to book a ride.

The QR code-based booking is the first phase of Chelsea Travel, a platform aimed at improving the passenger experience, it said. The company eyes to launch an online payment scheme moving forward.

Prior to this, Chelsea enabled contactless payment options for the said shipping lines via e-wallet services providers.

Damuy said they were “hopeful” that passenger revenues would “soon revert to pre-lockdown levels.” INQ