Wan Hai Lines (2615) Q2 2025 earnings summary

Executive summary

• Operating revenue for the six months ended June 30, 2025 was NT$71,942.9 million, up 9% year-over-year, with net profit at NT$9,824.2 million, down 39% from NT$16,199.5 million in 2024.

• Gross margin improved to 29% from 24% year-over-year, but net margin declined due to higher non-operating losses, mainly from foreign exchange losses and asset impairments.

• Basic and diluted EPS for the six months were NT$3.50 and NT$3.49, respectively, compared to NT$5.77 in the prior year.

Financial highlights

• Operating costs rose 2% year-over-year, while operating expenses increased 7%, impacting operating profit.

• Net other income for the six months was NT$397.5 million, and total non-operating income and expenses resulted in a net loss of NT$5,713.5 million, mainly due to NT$8,383.9 million in foreign exchange losses.

• Cash and cash equivalents at June 30, 2025 were NT$98,436.0 million, up from NT$56,525.5 million a year earlier.

• Total assets stood at NT$388,076.3 million, with total equity attributable to owners at NT$238,531.1 million.

Outlook and guidance

• The company continues to invest in fleet expansion, with significant prepayments for new methanol dual-fuel vessels and ongoing vessel construction contracts.

• Management expects adoption of new IFRS standards in 2026 and 2027 to have limited impact on financials.