In the first half of 2009, net profit of Sovcomflot OJSC under international financial reporting standards (IFRS) fell by 64.6%, year-on-year, to $116.8 mln, the company states. In the reported period, the revenue fell by 24.2% to $611.9, EBITDA – by 25.9% to $305.9 mln.
Having retained leading position in a number of segments of tanker shipping market the Group successfully implemented several business projects (operation of supply vessels servicing drilling platforms, marine shipping of coal in the Far East, providing port and tug services). In the reported period, the company’s fleet accepted six new vessels (three tankers and three port tug boats) with total deadweight of 300,000 tonnes.
The same period was marked by a year-long operation of unique Arctic shuttle tankers within the framework of the Varandey project in the Barents Sea. 84 shipments of crude totaled 5.7 million tonnes. Within the Sakhalin-2 framework the company commenced regular shipmen of Russian liquefied natural gas by gas carriers (March 2009).
According to Sergei Naryshkin, Sovcomflot BoD Chairman, “well balanced freight policy and weighted investment solutions enable the Group not only withstand negative influence of the global economic crisis on the freight market but also continue implementation of the fleet renovation and expansion program and its structural optimization as well as enter new market segments related primarily to shelf operation. All these make it possible to better satisfy the growing requirements of customers and to reinforce the Group’s position in the market.
Sovcomflot Director General Sergei Frank said the first half of the year proved to be an extremely difficult period for shipping industry: global economic recession, decline of the demand for energy sources combined with large-scale supply of newbuildings played a negative role for freight rates in tanker segment. Average spot rates for tankers fell over 50% while bunker prices stayed at a high level.
“In this difficult situation the Group has managed to raise the level of operational profitability and to get quite a high profit. The company’s financial potential is sufficient to implement its investment program and to pay attention to programs and initiatives on service quality improvement,” Sergei Frank summed up.
Sovcomflot OJSC is Russia’s largest shipping company and the world’s fifth-largest tanker company. Its fleet comprises 137 vessels with total deadweight of some 9.6 million tonnes. The Group’s current backlog of orders numbers 23 vessels with total deadweight of 2.1 million tonnes. The average age of the Group’s tanker fleet is six years (against the world’s average age of 12 years). Sovcomflot Group holds a leading position in the global market of product carriers, Aframax tankers, ice-class LNG-carriers and Arctic shuttle tankers, those of special demand in Russia’s foreign trade.
Having retained leading position in a number of segments of tanker shipping market the Group successfully implemented several business projects (operation of supply vessels servicing drilling platforms, marine shipping of coal in the Far East, providing port and tug services). In the reported period, the company’s fleet accepted six new vessels (three tankers and three port tug boats) with total deadweight of 300,000 tonnes.
The same period was marked by a year-long operation of unique Arctic shuttle tankers within the framework of the Varandey project in the Barents Sea. 84 shipments of crude totaled 5.7 million tonnes. Within the Sakhalin-2 framework the company commenced regular shipmen of Russian liquefied natural gas by gas carriers (March 2009).
According to Sergei Naryshkin, Sovcomflot BoD Chairman, “well balanced freight policy and weighted investment solutions enable the Group not only withstand negative influence of the global economic crisis on the freight market but also continue implementation of the fleet renovation and expansion program and its structural optimization as well as enter new market segments related primarily to shelf operation. All these make it possible to better satisfy the growing requirements of customers and to reinforce the Group’s position in the market.
Sovcomflot Director General Sergei Frank said the first half of the year proved to be an extremely difficult period for shipping industry: global economic recession, decline of the demand for energy sources combined with large-scale supply of newbuildings played a negative role for freight rates in tanker segment. Average spot rates for tankers fell over 50% while bunker prices stayed at a high level.
“In this difficult situation the Group has managed to raise the level of operational profitability and to get quite a high profit. The company’s financial potential is sufficient to implement its investment program and to pay attention to programs and initiatives on service quality improvement,” Sergei Frank summed up.
Sovcomflot OJSC is Russia’s largest shipping company and the world’s fifth-largest tanker company. Its fleet comprises 137 vessels with total deadweight of some 9.6 million tonnes. The Group’s current backlog of orders numbers 23 vessels with total deadweight of 2.1 million tonnes. The average age of the Group’s tanker fleet is six years (against the world’s average age of 12 years). Sovcomflot Group holds a leading position in the global market of product carriers, Aframax tankers, ice-class LNG-carriers and Arctic shuttle tankers, those of special demand in Russia’s foreign trade.