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Lorenzo Shipping reported a net loss of P502.66 million in the first nine months of 2025, 73% higher than the P290.36 million net loss in the same period last year
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This was attributed to lower vessel voyages and containers handled
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Container volumes declined 32% year-on-year due to fewer voyages resulting from reduced fleet capacity
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Ongoing rehabilitation of vessels and the implementation of operational efficiency measures are expected to translate into improved voyage frequency, higher revenue generation, and stronger cash flow
Lorenzo Shipping Corp. (LSC) reported a net loss of P502.66 million in the first nine months of 2025, 73% higher than the P290.36 million net loss in the same period in last year amid lower vessel voyages and containers handled during the period.
The January to September revenue amounted to P1.16 billion, 37% lower than P1.858 billion year-on-year as container volumes declined 32% due to fewer voyages resulting from reduced fleet capacity, the domestic carrier said in its quarterly regulatory disclosure.
For the third quarter alone, net loss grew 40.7% year-on-year to P178.103 million while revenue dropped 37% to P354.263 million.
During the third quarter, LSC said it continued to implement strategic initiatives aimed at regaining profitability and strengthening its financial position.
“The decline in margins during the prior periods was primarily attributed to increased operating costs and vessel downtime. In response, management has intensified its focus on operational efficiency and asset rehabilitation to improve revenue generation and cost control,” the carrier said.
READ: Lorenzo Shipping losses sink further in first half to P324M
To restore profitability and ensure sustainable growth, LSC said it remains committed to consistently meeting vessel schedules through the comprehensive rehabilitation of its fleet and land-based equipment.
These initiatives are complemented by ongoing measures to enhance system efficiency, quality management, cost rationalization, and asset utilization.
The carrier’s strategic priorities for the last quarter of the year include, among others, prioritizing preventive maintenance and timely repairs of vessels and land-based equipment to reduce unplanned downtime, improve asset productivity, and ensure consistent service delivery.
There will also be voyage optimization through the employment of yield management strategies to ensure maximum margins per completed voyage.
“The focus will be on aligning vessel deployment with demand patterns and fuel efficiency targets to improve overall voyage profitability,” LSC said.
The carrier said it will also leverage technology to automate workflows, strengthen monitoring systems, and streamline operational processes. These innovations, LSC noted, aim to reduce turnaround time, lower administrative overhead, and enhance real-time decision-making capabilities.
LSC said its management remains cautiously optimistic about the company’s financial performance in the coming quarter.
“The ongoing rehabilitation of vessels and the implementation of operational efficiency measures are expected to translate into improved voyage frequency, higher revenue generation, and stronger cash flow. Cost optimization initiatives are anticipated to positively impact the company’s gross margins, while enhanced billing and collection processes will contribute to a more stable liquidity position. With these efforts, the company projects a gradual recovery in profitability ratios and overall financial stability by the end of the fiscal year,” LSC said.
