On the recommendation of the board of directors, Novoship shareholders approved the company’s annual statement and financial accounts for 2013. Based on company activities in 2013, the decision was taken to issue dividends of 1.50 roubles per common and privileged share and amendments were made to the OAO Novoship charter.
According to Novoship press release, shareholders at the Novoship annual general meeting elected a new board of directors and internal audit committee for the company.
On behalf of the board of directors, Igor Tonkovidov presented the company’s annual report for 2013 and made the following statement:
“2013 marked the fifth year of recession on the global tanker market. Between January and September freight rates were not high enough to cover ship-owners’ operating costs. Despite these challenging conditions, Novoship Group managed to achieve favourable results while many tanker companies suffered losses for the year. According to its consolidated and Russian standard accounts, Novoship made a profit; the company could comply with its financial responsibilities in full and on time.
Consolidated revenue from Novoship Group fleet operations in 2013 totalled 11.7 billion roubles and profit from vessel operation was in line with the previous year at 4.360 billion roubles. Based on 2013 results, Novoship Group asset value grew by 3.8% and the company’s long-term liabilities fell by 14.9% in comparison with 2012. In 2013, Novoship Group experts successfully oversaw the first Arctic crossings made by two vessels and construction work was completed on Russia’s first ever VLCC tanker (Svet), which joined the Sovcomflot Group fleet. The company’s navigational and environmental safety statistics in 2013, as well as its good standing with leading oil companies, once again demonstrate that Novoship is both an effective and reliable conventional fleet manager. These results were achieved thanks to the efforts of the Novoship Group team in the successful implementation of the company’s business strategy.”
OAO Novoship is a subsidiary of OAO Sovcomflot, which owns 89.32% of the company’s share capital.