Zim’s net profit in Q1 dropped 81% to $4 million

Zim, according to the report, posted NIS 795 million revenue for the first quarter, up 14% compared with the corresponding quarter
 
Israel Corp. published last week its consolidated financial report for the first quarter of 2007. The report shows that revenue rose by 7.3%, compared with the corresponding quarter of 2006, to NIS 7.1 billion, but net profit (NIS 244 in Q1/ 1006) fell 32%to NIS 166 million.
 
Israel Corp. owns stakes in several Israeli companies - Oil Refineries Ltd. Israel Chemicals Ltd. Tower Semiconductor Ltd., and Zim Integrated Shipping Services Ltd. Zim’s net profit for Q1 dropped 81% to $4 million, compared to US$21 in Q1 of 2006 . during the period the company transported world wide TEU 558,000 compared to TEU 486,000 in the parallel.
 
Zim, according to the report, posted NIS 795 million revenue for the first quarter, up 14% compared with the corresponding quarter. Most of the increase was attributed to increased tonnage carried, a rise in the average cargo freight rate, and an increase in congestion surcharges.
 
The company’s first quarter operating costs rose by 19% compared with the corresponding quarter, which it attributed to strikes and labor sanctions at Israel’s ports.
 
Zim spokesman noted that, “The fall in operating efficiency at the two main Mediterranean ports had a relatively heavy effect of Zim line's operating profit.