Taiwan-based container carrier Wan Hai Lines Ltd. generated most of its revenue from intra-Asia routes with funds from operations of around new Taiwan dollar (NT$) 18 billion in 2020. A significant shortage of containership capacity, prolonged port congestions globally, and booming international trade as economies in Europe and the U.S. recover will continue to support high freight rates. This will underpin Wan Hai's strong operating cash flow over the next three to four quarters. Wan Hai could use its strong operating cash flow to fund its aggressive capital expenditure plans while maintaining a flexible dividend policy over the next one to two years. This could enable Wan Hai to maintain a sufficient financial buffer for a likely normalization in freight
