The second half of the year is seen to remain uncertain, according to the chief executive officer of Ocean Network Express (ONE).

Jeremy Nixon, CEO of ONE, said that despite this market unpredictability, the shipping line will monitor evolving conditions and maintain agile and efficient operations, focusing on delivering quality service.

"The outlook, especially for the 2nd quarter and beyond, is extremely uncertain," he said.

"Also, it will take some time for the situation in the Middle East to normalize." 

His comment came as the ocean carrier reported its financial result for the first quarter of FY 2024.

For the period (from April 2024 to June 2024), ONE's revenue hit US$4.21 billion, up 12% from the same quarter last year. The company's net profit was US$779 million or up US$266 million year over year.

Cargo movements have also improved due to the increased consumer spending in North America and Europe.

"Although new vessel deliveries have led to oversupply in tonnage, prolonged rerouting through the Cape of Good Hope resulted in a reversal of oversupply," ONE said in a statement.

"As a result, spot freight rates increased compared to 4Q FY2023, across multiple trade lanes including Asia - North America and Asia – Europe due to tight supply and increased demand," it added.

For the full year, ONE revised its earlier guidance, and it now expects its net profit to reach US$2.745 billion from US$1 billion, which was announced on April 30.