HONG KONG-listed Orient Overseas (International) Ltd (OOIL) has announced a full year 2013 group profit attributable to equity holders US$47 million compared to a profit of $295.4 million in 2012.

Group revenue amounted to $6,232 million last year.

"Operating environment in 2013 characterized by muted demand and over capacity. Supply and demand imbalance continues with supply at 5.7 per cent and demand at 4.2 per cent for 2013," a company statement said.

Container shipping liftings increased by 1.5 per cent to 5.3 million TEU with a steady load factor maintained at 73 per cent.

Despite challenging market conditions, the container transport and logistics business reported EBIT of US$75.1 million, representing a "competitive margin" within the industry.

The group took delivery of eight 13,208 TEU newbuildings and two 8,888 TEU new vessels during the year, representing a 9.7 per cent increase in operating capacity from 2012 to 496,106 TEU.

There are two remaining 13,208 TEU new buildings to be delivered in 2014, and four 8,888 TEU new buildings to be delivered between this year and next. No newbuilding orders were placed last year.

The group said it continued to make progress in terminal investment in Long Beach, California, and with industry leading IT development and logistic business buildout.

Other highlights include the group working with the Port of Long Beach to combine and upgrade two shipping terminals. The container facility, the Middle Harbour Redevelopment ProjectÕs final phase is scheduled for completion in 2019.

Chairman of OOIL, C C Tung, said, "Seaborne trade growth for the liner industry was subdued in 2013. Freight levels were disappointing, especially during the first half of the year.

"During the second half of the year, both physical cargo movement and sentiment improved, resulting in a slightly better freight market.

"Although container shipping demand growth in 2013 was lower than earlier forecasts, capacity supply growth was also lower than forecasts which helped contribute to a much needed recovery in rates, albeit mild, during the second half of the year."

"Supported by the rebound in the Trans-Pacific and Asia-Europe Trade volumes in the latter part of the year, and together with a deeper market penetration into the Intra-Asia and Australasia Trades, OOCL total liftings in the fourth quarter increased by ten per cent when compared to the same quarter of the previous year, overcoming the lifting decline during the early parts of 2013," said Mr Tung.

After a period of consolidation and re-positioning, the group continues to strengthen and grow its logistics business, particularly in the areas of international supply chain and import/export services, and domestic transportation and warehousing services.

"It is expected that the logistics business will become a meaningful contributor to the group over the long term," Mr Tung added.