ICG profits climb in third quarter

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

19 Nov 2010

Irish Continental Group said operating profit rose 12 per cent to €19 million in the third quarter of the year, while turnover increased to €81.2 million. In an interim management statement, the shipping group, which ferries passengers, cars and freight between Ireland, Britain and continental Europe, said earnings before interest, tax, depreciation and amortisation rose 9 per cent compared to last year, reaching €25 million.
ICG's business is seasonally weighted towards the second half of the year, particularly the third quarter.
Between July and October, passenger numbers rose 5.9 per cent, but there was continued weakness in the roll on roll off freight sector, which saw volumes decline 10.1 per cent over the four month.
Container freight volumes also fell during the period, losing 2.4 per cent and units lifted at its ports were down 3 per cent.
Passenger numbers at the ferry company were boosted by the volcanic ash cloud that disrupted air travel all over Europe earlier this year.
In the year to date, passenger numbers showed an increase of almost 9 per cent at 1.38 million, but the number of cars carried by the ferries fell 1 per cent to 326,300.
Over the 10 months, roll on roll off freight volumes fell 10.4 per cent compared to last year at 148,300 units.
However, container freight volumes showed an increase, rising 4.1 per cent compared to a year earlier, and units handled at its port terminals were 1.6 per cent higher.
Its unaudited results showed group revenue for the nine months to September 30th 2010 was €203.6 million, slightly higher than the €200.4 million recorded in 2009. In the ferries division, revenue rose 4 per cent, and the cumulative revenue for the container and terminal division fell 2 per cent.
EBITDA for the nine months reached €45 million, higer than the €41.7 million recorded a year earlier. Operating profit for the nine months was €27.8 million, up 15.4 per cent compared to 2009.
ICG remained relatively upbeat about the future.
"The economic backdrop remains challenging," ICG said in a statement. "The impact of the impending adjustments in public finances in both Ireland and the UK is uncertain both with regard to tourism and freight demand. Nevertheless, we have carefully managed our cost base and our operational capacity to continue to be able to compete profitably in this environment."

Source: Irish Times