The Supervisory Council of JSC Latvijas kugnieciba has reviewed and approved for consideration the Group’s performance results for the first quarter of 2009. At the result of effective cost optimisation JSC Latvijas kugnieciba has earned net profit at the amount of USD 7,6 million during the first quarter of 2009, regardless of such external factors as low market activity and dramatic decline of freight rates in the shipping market.
With the revenues from the sale of the JSC Latvijas kugnieciba elderly vessel tonnage having dropped considerably the profit attained in 2009 is USD 7,8 million lower compared to the first quarter of the previous year.
At the end of the first quarter of 2009 the fleet in JSC Latvijas kugnieciba commercial management consisted of 32 tankers, including three vessels chartered in from other shipowners, two LPG carriers and one dry cargo ship. The vessel operating profit has reached USD 20.3 million in the first three months of 2009, the result being 9 per cent or USD 1,7 million higher than for the respective period a year before. This positive indicator was attained because of effective assessment of the operational costs and their economy. The net voyage result was USD 52,7 million during the first quarter of 2009. The result is USD 4,2 million or 7 per cent lower than that achieved over the first three months period of 2008.
The implementation of the Tanker fleet renewal programme has resulted in decrease of the average age of JSC Latvijas kugnieciba Group fleet from 17,5 years at the end of 2005 to 9,7 years at the end of 2008, but the total deadweight had grown from DWT 1,01 million to DWT 1,29 million.