Nippon Yusen Kabushiki Kaisha, known as NYK Line, is at home in
ports around the globe. With a fleet of about 875 vessels, the
company is one of the world's largest marine transportation
providers. The NYK Line fleet includes bulk carriers,
containerships, tankers, and a variety of specialized vessels,
including car carriers and liquefied natural gas (LNG) carriers;
overall, the fleet has a capacity of more than 50 million
deadweight tons (DWT). In conjunction with its marine
transportation business, NYK Line offers such logistics services as
customs clearance, supply chain management, and warehousing, and
operates more than 40 marine terminals.
NYK Line has some 450 logistics locations around the world.
About 150 are located in South Asia and Oceania, 88 in East Asia,
76 in Europe, 72 in Japan, and 67 in the Americas.
Japan represented 75% of the company's total sales in
2015. Other markets include Asia (9%), North America (8%), Europe
NYK Line divides its operations into several segments. Global
Logistics is its largest (and includes liner trade, terminal and
harbor transport, air cargo, and logistics), contributing 52% of
the company's total sales in 2015. Bulk shipping generated 42% of
the company's revenue. Its real estate operations accounted for the
remainder of sales.
NYK Line's revenues jumped 7% from 2014 to 2015 due to large
gains from its Global Logistics segment, particularly within North
America, Japan, and Asia. Its net income also increased by 44% in
2015 compared to 2014. This was sparked by the increased revenue, a
gain on sales of shares of subsidiaries and affiliates, and
additional foreign exchange earnings.
NYK Line is banking on increased demand for oil. About 80% of
the company's new vessels are intended for use in the natural
resources and energy transportation. Many of which are under
long term contracts to customers in growing economies such as
Brazil, China, and India.
Mergers and Acquisitions
The company often improves its geographical footprint through
the use of acquisitions. In 2014 it purchased Tranco Terminal, the
largest car-terminal operating company in Kazakhstan. NYK Line
projects that auto sales will rapidly increase in Kazakhstan. In
addition, the deal caters to the demand for transnational inland
transport from the China and Russia areas bordering Kazakhstan and
will provide a service to fulfill the various transport needs of