Chelsea incurs P1.29 billion loss in 1st half

MANILA, Philippines — Chelsea Logistics and Infrastructure Holdings Corp. of businessman Dennis Uy incurred a net loss of P1.29 billion in the first half, a reversal of the P308 million earned in the same period last year.

Chelsea attributed the significant downturn in its profitability to the community quarantine measures imposed by the government starting March 15.

“The decline in the group net profit was primarily attributable to the limitation on the part of the company to generate revenues, particularly during the second quarter. Unfortunately, the imposition of the community quarantine happened during the peak season of the Philippine shipping industry,” the company said.

“These community quarantines measures restricted the travel of people via land, sea and air transport and allowed only the delivery of essential goods. Freight and logistics businesses were also greatly affected during the past months,” it said.

Revenues during the six-month period dropped 26 percent to P2.57 billion from P3.5 billion last year as all segments of the group’s businesses slowed down.

Chelsea said the passage segment of the business was most affected by the community quarantine, with revenues plunging 42 percent year-on-year to P427 million.

Tankering revenues fell 39 percent to P736 million as a result of less movement in petroleum products for the company’s base customers, while revenues from freight segment declined 26 percent to P968 million as movement of goods was limited to delivery of essential goods.

Chelsea, through subsidiaries Trans-Asia Shipping Lines Inc. and Starlite Ferries Inc., is offering free trips to Cebu City residents this month to allow all Cebu residents who were stranded outside the city to easily avail of a free ride back home.