The National Shipping Company of Saudi Arabia (NSCSA) net profit in the third quarter of this year sank 75.8 percent to SR23.4 million compared to SR97 million for the corresponding quarter in 2010, the company said Sunday. It also dived 74.4 percent against SR91.4 million logged in the second quarter. The CEO of NSCSA Saleh Al-Jasser said the drop in net earnings was attributed to a decrease in average Time Charter Equivalent (TCE) rates in very large crude carrier (VLCC) spot market due to excess capacity of tonnage resulting from the entrance of new VLCCs in the market. Moreover, the expiry of three Time Charter contract vessels and their entry back to the spot market during the second and third quarter of the year 2011; and the rising cost of vessel bunker affected the income, he added. Gross profit for the third quarter totaled SR16.4 million compared to SR101.6 million for the corresponding quarter for the year 2010, a decrease of 83.9 percent. Operating loss totaled SR8.8 million compared to operating profit of SR78.2 million in the period covered. Net profit for the 9 of 2011 totaled SR174.5 million compared to SR359.5 million for the corresponding period for the year 2010, a decrease of 51.5 percent. Earning per share for 9 months totaled SR0.55 compared to SR1.14 for the same period last year. Gross profit for the 9 months totaled SR135.9 million compared to SR387.9 million for the corresponding period for the year 2010, a decrease of 65 percent. Operating profit for the 9-months totaled SR55.9 million compared to SR316.6 million for the corresponding period last year, a decrease of 82.3 percent.
