Maersk 2006 profit down 20%
AP Moeller Maersk posted a full year pretax profit of 35.961 bln dkr, up 9 pct from 2005, as the result was positively affected by higher oil prices and gains on ship sales.
Net profit came in at 16.186 bln dkr, down 20 pct from 2005, and slightly ahead of market expectations for 16.1 bln dkr.
Group sales increased 27 pct to 264.751 bln dkr, below market expectations for 266.8 bln dkr.
AP Moeller Maersk said it expects 2007 group sales to reach 280 bln dkr and net profit to reach around 17 bln dkr.
Market expectations were for 294.9 bln dkr and 19.0 bln dkr respectively.
'There is considerable uncertainty as to expectations for 2007, especially for the development in container freight rates, volumes transported, the usd exchange rate and oil prices,' AP Moeller Maersk said.
AP Moeller Maersk proposes a 2006 dividend of 550 dkr per share, unchanged from 2005.
The group said profit in 2006 as compared to 2005 was positively affected by an increased oil price, gains on the sale of ships, and a change in depreciation periods on fixed assets.
Lower freight rates, an increase in bunker prices and higher taxes affected the profit negatively, it added.
'In 2006, most of the AP Moeller-Maersk Group's core business areas developed positively...This was overshadowed however by a very negative development for the Group's container activities,' AP Moeller Maersk said.
The net result at AP Moeller's dominant Container shipping segment dropped to minus 3.375 bln dkr from a profit of 7.655 bln dkr a year earlier, hit by lower freight rates and lost market shares due to difficulties integrating shipping group P&O Nedlloyd, the group said.
Analysts had expected a net loss of 4.1 bln dkr at the Container shipping segment.
Net profit at the Tankers, offshore and other shipping activities segment increased 49 pct to 5.734 bln dkr, boosted by gains on sale of vessels and rigs, and by a change in depreciation periods.
The Oil and Gas segement posted a net profit of 10.119 bln dkr, up 45 pct from 2005, positively affected by an increase in oil prices.
Net profit increased 68 pct to 1.838 bln dkr at the group's Retail segment, helped by a strong European market and continued growth from discount stores.
It posted a net profit of 1.819 bln dkr, up 7 pct from a year earlier, from its shipyards business, other industrial companies and its interest in Danske Bank.
Net profit came in at 16.186 bln dkr, down 20 pct from 2005, and slightly ahead of market expectations for 16.1 bln dkr.
Group sales increased 27 pct to 264.751 bln dkr, below market expectations for 266.8 bln dkr.
AP Moeller Maersk said it expects 2007 group sales to reach 280 bln dkr and net profit to reach around 17 bln dkr.
Market expectations were for 294.9 bln dkr and 19.0 bln dkr respectively.
'There is considerable uncertainty as to expectations for 2007, especially for the development in container freight rates, volumes transported, the usd exchange rate and oil prices,' AP Moeller Maersk said.
AP Moeller Maersk proposes a 2006 dividend of 550 dkr per share, unchanged from 2005.
The group said profit in 2006 as compared to 2005 was positively affected by an increased oil price, gains on the sale of ships, and a change in depreciation periods on fixed assets.
Lower freight rates, an increase in bunker prices and higher taxes affected the profit negatively, it added.
'In 2006, most of the AP Moeller-Maersk Group's core business areas developed positively...This was overshadowed however by a very negative development for the Group's container activities,' AP Moeller Maersk said.
The net result at AP Moeller's dominant Container shipping segment dropped to minus 3.375 bln dkr from a profit of 7.655 bln dkr a year earlier, hit by lower freight rates and lost market shares due to difficulties integrating shipping group P&O Nedlloyd, the group said.
Analysts had expected a net loss of 4.1 bln dkr at the Container shipping segment.
Net profit at the Tankers, offshore and other shipping activities segment increased 49 pct to 5.734 bln dkr, boosted by gains on sale of vessels and rigs, and by a change in depreciation periods.
The Oil and Gas segement posted a net profit of 10.119 bln dkr, up 45 pct from 2005, positively affected by an increase in oil prices.
Net profit increased 68 pct to 1.838 bln dkr at the group's Retail segment, helped by a strong European market and continued growth from discount stores.
It posted a net profit of 1.819 bln dkr, up 7 pct from a year earlier, from its shipyards business, other industrial companies and its interest in Danske Bank.