Friday, November 6, 2009

US Shipping Container Lessor Reports Downturn For Q3

CAI International Figures Demonstrate State of the Global Freight Industry
Shipping News Feature

US – One of the largest freight container management companies wheeled out their third quarter figures and, unfortunately, they held no big surprises. CAI International Incorporated, the San Francisco based fleet provider and management company are a good barometer of industry conditions having, as they do, a network of global locations and shipping line customers ranging across the financial spectrum.

Total revenue for the company was down 38% to $15.7 million for the period to September as against the previous year. Container rental revenue however only dropped 18% to $13.4 million probably due to longer existing contracts whilst fleet management and container sales dropped more dramatically.

The company view is a hopeful one, in a statement a spokesperson said that the company was well placed particularly as the rate of container manufacture had slowed meaning more of their existing fleet would be utilised as rental numbers had stabilised and would prove an attractive option to shipping fleet owners in uncertain times.

CAI own over three quarters of a million intermodal freight containers of various types and have offices at strategic points in eleven countries.

Previous container leasing story here.