KUALA LUMPUR, Feb 22 – Malaysian shipping liner MISC Bhd said in a filing to the local stock exchange today that the third quarter ended Dec 31 turned to a net loss of RM1.74 billion (US$575 million) versus a net profit of RM1.38 billion a year ago.

The poor performance was partly due to its exit from the liner business and a weak global economy coupled with vessel supply overhang, while freight rates headed further south during 2011.

Going forward, it said its recent decision to cease its loss-making liner business operations is expected to benefit the group in the medium to long-term.

The LNG, offshore and heavy engineering businesses will continue to provide stability to the group’s earnings moving forward, it said.

MISC shares dropped 1.36 per cent today to RM5.80 prior to the earnings announcement.

MISC on March 2 last year announced a change of financial year-end to Dec 31 from March 31. The first new financial year would end on Dec 31, resulting in a 9-month financial year. – Reuters