Tallink Grupp posts EUR 27.3 mln profit in 2014
AS Tallink Grupp announced that according to the unaudited results of 2014 financial year the Group earned 27.3 million Euros profit at the revenue of 921.5 million Euros. Management Board will propose to the shareholders' general meeting a dividend distribution of 0.02 Euros per share, 13.4 million Euros in aggregate.
The Group's unaudited consolidated revenue was 921.5 million Euros, which is 2.2 percent lower compared to the previous year. The unaudited gross profit was 181.8 million Euros, EBITDA 150.6 million Euros. AS Tallink Grupp and its subsidiaries (the Group) carried a total of nearly 8.9 million passengers in the 2014 financial year which is 2.6 percent less than the year before.
Due to increased competition, continuously weak Nordic economic environment and one-off effects the annual results for the 2014 financial year were weaker than expected. At the same time the Group made several larger development works during the financial year including charters, upgrades for Silja Symphony and Silja Serenade and re-routings with the goal to optimise operations. A positive effect to the profitability can be seen already from the fourth quarter result. The fourth quarter result was strong and provides a good base for the forthcoming year, therefore the management expects an improvement in the results for the 2015 financial year.
The Group's consolidated revenue in the fourth quarter was 224.1 million Euros, being on the same level as in the last year. In the fourth quarter of the 2014 financial year the Group's gross profit amounted to 49.5 million Euros and EBITDA to 41.1 million Euros. The unaudited net profit for the fourth quarter of the 2014 financial year was 8.4 million Euros or 0.01 Euros per share compared to the net profit of 7.5 million Euros or 0.01 Euros per share in the same period last year.
The Group was successful in lowering fuel cost in the fourth quarter by approximately altogether 9 million Euros. This was a combined effect of reducing consumption through optimising current operations, this included re-routings and charters and the drop in fuel prices experienced globally in the end of the 2014 financial year. The Group had a smooth transition switching to the low sulphur fuel in the end of the fourth quarter.
The Group successfully continued the deleveraging strategy and the net debt decreased by 44 million Euros to a total of 678 million Euros in the 2014 financial year.
The total liquidity, cash and unused credit facilities at the end of the fourth quarter were 67.9 million Euros providing a strong position for sustainable operations.
AS Tallink Grupp is one of the leading passenger shipping companies on the Baltic Sea, transporting up to 9 million passengers annually and employing almost 7000 people in Estonia, Finland, Sweden, Latvia, Russia and Germany. The company operates six different shipping routes under brands of Tallink and Silja Line in the northern part of the Baltic Sea.
