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2008 December 2   05:38

Sovcomflot net profit up $484.1 mln in Jan-Sep 08

The Sovcomflot Executive Board has reviewed the results and performance of the Sovcomflot Group for the nine month period ended 30 September 2008.

In the nine months to 30 September 2008, Sovcomflot Group revenue was USD 1.26 billion, a 36.2 per cent increase on the corresponding period in 2007. The Group’s net profit was USD 484.1 million, a 20.9per cent increase on the previous period. Total assets at 30 September 2008 were USD 5.8 billion, an increase of 10.0 per cent on the position at 30 September 2007.

The first nine months of 2008 saw significant progress made with the integration of Sovcomflot and Novoship, as commercial operations were merged and international sales activities unified.

Going forward, the Group benefits from the fact that some two thirds of its fleet operates on a time charter basis, with more predictable and stable earnings through time-charter agreements with the first-class charterers. The remainder of the fleet operates on the spot market, mainly under COAs and  on  consecutive voyages basis.

Sovcomflot Group is Russia’s largest shipping company. Its fleet is amongst the five leading tanker companies in the world and comprises 132 vessels (126 – wholly owned) with a total deadweight (dwt) of 9.4 million tonnes. The average age of vessel in the tanker fleet is less than six years (the world average age is 12 years). Sovcomflot Group specialises in seaborne energy transportation. It owns the world’s largest ice fleet and holds the top position in the product carrier, Aframax tanker and ice-class shuttle-tanker market segments, and is the leading ice-class tanker operator for the transportation of liquefied natural gas (LNG). These market segments are the most in demand for Russia’s foreign trade and its oil and gas companies.

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