COSCO reported full 3Q results after Friday (28 Oct) close, being the first top
ten liner to report. The 16% sequential drop in earnings were already disclosed
on 10 Oct's earning alert. Drivers to the sequential drop in earnings during 3Q
were 11% QoQ increase in operating costs and 4% QoQ drop in volume. In other
words, unit costs increased by 16% QoQ. Surprisingly, COSCO's average freight
rates were up 1% QoQ during 3Q. Most of the impact from the collapse in spot
freight rates since summer w