KAWASAKI Kisen Kaisha, better-known as “K” Line, has reported lower revenues and income for its 2025 full year but the pain has not been shared across all business segments.
The group reported operating revenue of ¥1,018.3 billion for 2025, down 29.5bn from 2024. Operating income was ¥84.1 bn, down from 102.8bn in the prior year, while ordinary income was ¥109.1bn, down sharply from 308.0bn. Net income was ¥32.9bn, due to factors including the sale of owned vessels and subsidiary shares, as well as a revision to the adjustment of income taxes related to deferred tax assets, the company said.
Compared with the previous period, market conditions improved in the second half for both Capesize and Panamax and smaller sizes, supported by a recovery in cargo movements.
Market conditions deteriorated year on year from the end of FY2024 through the 1Q of FY2025. In addition, the impact of disputes at loading ports in 1Q and increased costs, including dry dock costs, resulted in a year-on-year decline in full year profits
Stable profits were secured under long-term contracts.
Profit increased due to one-time factors, including the absence of impairment losses recorded in FY2024 and gains resulting from a review of tax effects in FY2025.
Car Carrier Business: Despite impacts from trade policies in various countries and the deterioration in the situation in the Middle East, the number of units transported slightly increased, supported by solid demand worldwide. On the other hand, profit declined due to increased operating costs and factors such as the situation in the Middle East.
Containership Business: Amid the impacts of U.S. trade policies and the situation in the Middle East, profit declined sharply due to higher ship costs resulting from deliveries of newbuild vessels and a decline in freight rates.
Looking to fiscal year 2026, “K” Line said amid ongoing geopolitical concerns, including the situation in the Middle East, ordinary income is forecast at ¥100.0bn yen, down 9.1bn yen year on year, reflecting factors such as foreign exchange valuation losses etc.