Helsinki,Finland, 2013-02-28 12:22 CET (GLOBE NEWSWIRE) --
Finnlines Plc Stock Exchange Release 28 February 2013 at 13:20
FINANCIAL STATEMENT BULLETIN JANUARY-DECEMBER 2012 (unaudited)
SUMMARY
January – December 2012
- Revenue EUR 609.3 million (EUR 605.2 million prev. year), increase 0.7%
- Result before interest, taxes, depreciation and amortisation (EBITDA) EUR 89.8 million (EUR 84.5 million), increase 6.2%
- Result for the reporting period EUR -0.1 million (EUR -2.5 million)
- Earnings per share were 0.00 (-0.05) EUR/share
October – December 2012
- Revenue EUR 138.4 million (EUR 144.8 million prev. year), decrease 4.4%
- Result before interest, taxes, depreciation and amortisation (EBITDA) EUR 11.6 million (EUR 14.4 million), decrease 19.0%
- Result for the reporting period EUR -5.3 million (EUR -3.1 million)
- Earnings per share were -0.11 (-0.07) EUR/share
JANUARY – DECEMBER 2012 IN BRIEF
| MEUR | 1-12 2012 | 1-12 2011 | 10-12 2012 | 10-12 2011 |
| Revenue | 609.3 | 605.2 | 138.4 | 144.8 |
| Result before interest, taxes, depreciation and amortisation (EBITDA) | 89.8 | 84.5 | 11.6 | 14.4 |
| Result before interest and taxes (EBIT) | 23.7 | 21.0 | -5.1 | -1.6 |
| % of revenue | 3.9 | 3.5 | -3.7 | -1.1 |
| Result for the reporting period | -0.1 | -2.5 | -5.3 | -3.1 |
| EPS, EUR | 0.00 | -0.05 | -0.11 | -0.07 |
| Equity ratio, % | 29.1 | 29.1 | 29.1 | 29.1 |
| Gearing, % | 204.3 | 199.8 | 204.3 | 199.8 |
| Shareholders’ equity/share, EUR | 9.17 | 9.12 | 9.17 | 9.12 |
Calculation of key ratios is presented under ’Calculation of ratios’.
FINNLINES’ BUSINESS
Finnlines is one of the largest North-European liner shipping companies, providing sea transport services mainly in the Baltic and the North Sea. In addition to freight, the Company’s ro-pax vessels carry passengers between six countries and eleven ports. The Company also provides port services in Helsinki, Turku and Kotka. The Company has subsidiaries or sales offices in Germany, Belgium, the UK, Sweden, Denmark, Poland, Luxembourg and a representative office in Russia. Finnlines is a Finnish listed company and part of the Italian Grimaldi Group.
GENERAL MARKET DEVELOPMENT
Based on the statistics by the Finnish Transport Agency for January-December, the Finnish seaborne imports carried in container, lorry and trailer units decreased by 2 per cent whereas exports increased by 1 per cent (measured in tons) compared to the same period in 2011. According to the statistics published by Shippax for January-December, trailer and lorry volumes transported by sea between Southern Sweden and Germany decreased by 3 per cent compared to 2011. During the same period, private and commercial passenger traffic between Finland and Sweden decreased by 1 per cent. Between Finland and Germany the corresponding decrease was 24 per cent (Finnish Transport Agency).
FINNLINES TRAFFIC
In the first quarter, the third and fourth (MS Finnsky and MS Finnsun) of six ro-ro newbuildings entered service. The fifth newbuilding (MS Finntide) entered service at the end of the last quarter and the sixth (MS Finnwave) was also delivered at the end of the year. All six newbuildings fly the Finnish flag.
During the second half-year, MS Finnarrow, MS Finneagle and MS Finnfellow, previously flying the Swedish flag, changed to the Finnish flag.
Finnlines cut its excess capacity by bareboat chartering MS Europalink for 5 years to its mother company Grimaldi Group. The vessel sails under Italian flag and in the Mediterranean Sea from the beginning of November 2012. During the fourth quarter, Finnlines operated on average 24 (25 prev. year) vessels in its own traffic.
The cargo volumes transported during January-December totalled approximately 628,000 (640,000 in 2011, corrected figure) cargo units, 72,000 (74,000, corrected figure) cars (not including passengers’ cars) and 2,102,000 (2,243,000, corrected figure) tons of freight not possible to measure in units. In addition, some 598,000 (635,000) private and commercial passengers were transported.
FINANCIAL RESULTS
January – December 2012
The Finnlines Group recorded revenue totalling EUR 609.3 (605.2) million, an increase of 0.7 per cent compared to the same period in 2011. Shipping and Sea Transport Services generated revenue amounting to EUR 574.8 (563.3) million and Port Operations EUR 58.5 (67.7) million. The internal revenue between the segments was EUR 24.0 (25.8) million.
Result before interest, taxes, depreciation and amortisation (EBITDA) was EUR 89.8 (84.5) million, an increase of 6.2 per cent.
Result before interest and taxes (EBIT) was EUR 23.7 (21.0) million. The result includes a non-recurring compensation of EUR 3.4 million from the Jinling shipyard relating to the first two newbuildings covering loss for reduced income. The result also includes non-recurring cost items amounting to EUR 3.3 million. These are mainly related to the settlements with the personnel and the arrangements of leased property. Financial income was EUR 0.7 (0.9) million and financial expenses totalled EUR -26.0 (-27.4) million. Result before taxes (EBT) was EUR -1.6 (-5.4) million and earnings per share (EPS) were EUR 0.00 (-0.05).
October – December 2012
The Finnlines Group recorded revenue totalling EUR 138.4 (144.8) million, a decrease of 4.4 per cent compared to previous year. Shipping and Sea Transport Services generated revenue amounting to EUR 130.5 (136.3) million and Port Operations EUR 13.8 (15.3) million. The internal revenue between the segments was EUR 5.8 (6.8) million.
Result before interest, taxes, depreciation and amortisation (EBITDA) was EUR 11.6 (14.4) million, a decrease of 19.0 per cent.
Result before interest and taxes (EBIT) was EUR -5.1 (-1.6) million. Financial income was EUR 0.0 (0.5) million and financial expenses totalled EUR -6.0 (-7.0) million. Result before taxes (EBT) was EUR -11.1 (-8.2) million and earnings per share (EPS) were EUR -0.11 (-0.07).
STATEMENT OF FINANCIAL POSITION, FINANCING AND CASH-FLOW
Interest-bearing net debt amounted to EUR 878.6 (854.8) million. According to the consolidated statement of financial position, the equity attributable to parent company shareholders equals to EUR 429.3 million at the end of the reporting period. Distributable funds included in the parent company’s shareholders’ equity on 31 December 2012 totals EUR 114.0 million. The equity ratio calculated from the statement of financial position was 29.1 per cent (29.1) and gearing was 204.3 per cent (199.8). Vessel lease commitments have decreased by EUR 8.0 million from the end of December 2011 due to redelivery of chartered tonnage and were EUR 6.8 million at the end of the reporting period.
The Company is in complete compliance with the financial covenants of its loan portfolio. At the end of the period, cash and deposits together with unused committed working capital credits amounted to EUR 41.3 million. The Company has a commercial paper programme amounting to EUR 100 million of which the company had issued EUR 26.1 million at the end of 2012.
CAPITAL EXPENDITURE
Gross capital expenditure in the reporting period totalled EUR 67.1 (64.4) million, and consists mainly of payments for newbuildings (EUR 57.5 million). Total depreciation amounted to EUR 66.1 (63.5) million. All of the six newbuildings ordered from the Jinling shipyard in China were delivered, MS Finnbreeze and MS Finnsea in March 2011, MS Finnsky and MS Finnsun in the beginning of 2012 and MS Finntide and MS Finnwave at the end of 2012.
PERSONNEL
The Group employed an average of 2,023 (2,076) persons during year 2012, consisting of 957 (1,072) employees on shore and 1,066 (1,004) at sea. The average number of sea personnel increased due to newbuildings taken into use during the reporting period. The number of shore personnel decreased mainly due to employee reductions carried out in the Port Operations.
Finnsteve companies started new employee co-operation negotiations with the personnel in Turku and Kotka during the third quarter. These negotiations ended in October and resulted in the termination of 7 employees and the temporary lay-offs of the whole personnel in shifts in both Turku and Kotka, starting in November 2012.
The number of persons employed at the end of the year was 2,009 (2,041) in total, of which 963 (1,007) on shore and 1,046 (1,034) at sea.
The personnel expenses (social costs included) for the reporting period were EUR 109.0 (107.9) million.
GROUP STRUCTURE
At the end of the reporting period, the Group consisted of the parent company and 24 subsidiaries. The aim of the Company is to reduce the number of subsidiaries in order to simplify the structure.
RESEARCH AND DEVELOPMENT
The aim of Finnlines' research and development work is to find and introduce new practical solutions and operating methods, which enable the Company to better and more cost-efficiently meet customer needs in a sustainable way. In 2012, with immediate effect, the focus was on optimisation of the traffic patterns in connection with the introduction of the newbuildings to service.
In 2011, Finnlines launched an energy-saving programme to integrate all vessels' officers in analysing and identifying all possible measures to optimise the energy consumption devices in a day-to-day business. The programme continued in 2012 with the new vessels in operation. The target is to reduce all energy-related costs to the absolute minimum necessary. This also includes all port-related costs.
The Company is also actively developing the safety of cargo handling methods. Together with a group of vocational education providers, universities and cargo securing experts in Finland, Germany, Italy and Sweden, Finnlines is participating in the CARING project, i.e. cargo securing to prevent cargo damages on road, rail, at sea and in the air. The project is partially financed by the Leonardo da Vinci programme of the European Union. The project has continued from the previous year and it will produce up-to-date learning and instructive material in order to improve the quality of cargo securing. There will also be a Cargo Calculator for determining sufficient cargo lashing, translations of the quick guide and an Online Survey of the know-how and attitudes of people working with cargo securing issues. The programme will be concluded in the second half of 2013.
In 2012, the Company started the renewal work of its operative IT systems for the cargo traffics. The target is to harmonise the systems between Finnlines and other services within the Grimaldi Group Network. Implementation of the system to different services will take place as from 2014 onwards.
THE FINNLINES SHARE
The Company’s registered share capital on 31 December 2012 was EUR 93,642,074 divided into 46,821,037 shares. A total of 1.4 (1.5) million shares were traded on the NASDAQ OMX Helsinki during the period. The market capitalisation of the Company’s stock at the end of December was EUR 365.2 (360.5) million. Earnings per share (EPS) were EUR 0.00 (-0.05). Shareholders’ equity per share was EUR 9.17 (9.12). At the end of the year, the Grimaldi Group’s holding and share of votes in Finnlines was 69.14 per cent.
DECISIONS TAKEN BY THE ANNUAL GENERAL MEETING
The Annual General Meeting of Finnlines Plc held on 17 April 2012 approved the Financial Statements and discharged the members of the Board of Directors and the President and CEO from liability for the financial year 2011.
The Annual General Meeting approved the Board of Directors’ proposal not to pay any dividend.
The Annual General Meeting decided that the Board of Directors shall have seven members. The current Board Members were re-elected to the Board: Mr Emanuele Grimaldi, Mr Gianluca Grimaldi, Mr Diego Pacella, Mr Olav K. Rakkenes and Mr Jon-Aksel Torgersen. In addition, Mr Christer Backman and Ms Tiina Bäckman were elected as new Members. The Board of Directors elected Mr Emanuele Grimaldi as Chairman and Mr Diego Pacella as Vice-Chairman.
The Authorised Public Audit Firm Deloitte & Touche Oy was re-nominated as the Company’s auditors for 2012.
The Annual General Meeting authorised the Board of Directors to resolve on the issuance of new shares in one or several tranches so that the total number of shares issued based on the authorization is 20 000 000 at maximum. The authorization is valid until the next Annual General Meeting. The authorization replaces the Annual General Meeting’s authorization to decide on a share issue of 19 April 2011.
RISKS AND RISK MANAGEMENT
The risks affecting the business sector where the Group operates are:
The risk of overcapacity in terms of ro-ro tonnage plays a less important role compared to the general shipping overcapacity of the world tonnage as the scrapping of ro-ro and ro-pax tonnage has exceeded and is expected to exceed the newbuilding order-book. At the end of 2012, the uncertainty in the global and European economy was stabilised.
Finnlines constantly monitors the stability and the payment habits of its customers and currently there are no significant risks related to this.
Finnlines holds adequate credit lines to maintain liquidity in the current business environment.
ESSENTIAL LEGAL PROCEEDINGS
The Helsinki District Court rendered in March 2010 its judgement in the action initiated by Mutual Pension Insurance Company Ilmarinen (“Ilmarinen”) against the Company, which was reversed by the Helsinki Court of Appeal in favour of the Company in November 2011. The Supreme Court granted a leave to the appeal of Ilmarinen on the decision of the Helsinki Court of Appeal in December 2012. The action initiated by Ilmarinen is the appeal against the decision of Finnlines' Annual General Meeting held on 20 May 2008 concerning minimum dividend and claimed that the resolution be amended so that the minimum dividend paid should have been 17,181,000.00 euros instead of 180,216.39 euros.
During the second quarter of 2012, the parties reached an amicable settlement agreement in the dispute with Sponda Kiinteistöt Oy on the termination of the lease agreements. In this dispute the Helsinki District Court rendered its decision in February 2012 in favour of Sponda.
The Company’s German subsidiary was taken to the City Court of Lübeck in December 2009 by its former Managing Director regarding the termination of his Service Agreement. The City Court of Lübeck rendered the decision in favour of the subsidiary. The former Managing Director appealed against the decision. During the third quarter of 2012, the parties have reached an amicable settlement agreement regarding the termination of the Service Agreement of the former Managing Director.
In 2008, the Administrative Court of Helsinki rendered the decisions based on which it can be argued that the Finnish Act on Fairway Dues in force until 1 January 2006 contained provisions which according to the EU law were discriminatory. The Company has submitted the claim for damages and restitution against the Finnish State for the years 2001–2004 at the District Court of Helsinki. The amount of the claim is approximately EUR 8.5 million which has not been recognised as revenue. The process is under way.
ENVIRONMENT AND SAFETY
The objective of Finnlines’ safety and environmental policy is to provide safe, top-quality services while making efforts to minimise the environmental impacts in operations.
Finnlines and Finnsteve have both a certified environmental management system in accordance with the ISO 14 001 standard. Ships and their ”Companies” must adhere to the International Safety Management Code (ISM Code). All ships and port facilities must also comply with the International Ship and Port Facility Security (ISPS) Code.
Finnlines operates mainly in the Emissions Control Areas, i.e. the Baltic Sea, North Sea and English Channel where the emission regulations are stricter than globally. Today, the sulphur content limit for heavy fuel oil is 1.0 per cent but it will decrease to 0.1 per cent in 2015 in accordance with the MARPOL Convention. Today’s global limit is 3.5 per cent. In EU ports there is a maximum 0.1 per cent sulphur limit on all marine fuel used.
A Ship Energy Efficiency Management Plan has been mandatory from 1 January 2013 at the first renewal or intermediary survey. Fuel consumption can be reduced by e.g. optimising route, speed, load, and engine mode. Finnlines’ newest roro-ships have proved to be more energy efficient than the previous generation of ships. The improved performance is due to the rudder/propeller combination technology that ships are fitted with.
The Ballast Water Management Convention will enter into force once it has been signed by 30 states, representing 35 per cent of the world tonnage. At the beginning of December 2012, it had been signed by 36 contracting states, representing 29 per cent of world tonnage. After entry into force, the ships will have to exchange ballast water or install a treatment plant. After 2016, treatment plants will be mandatory.
Finnlines has been looking at efficient technical solutions to meet the coming environmental regulations. A particular effort was put in reduce actual service consumption patterns through ecofriendly newbuilding, slow steaming and other initiatives. In 2012, Finnlines reduced fuel consumption by 29,601 tons, which is 7.5 per cent less compared to 2011.
CORPORATE GOVERNANCE
Finnlines applies the Finnish Corporate Governance Code for listed companies updated in autumn 2010. The Corporate Governance Statement can be reviewed on the corporate website (www.finnlines.com).
TONNAGE TAXATION
The Finnish Parliament has approved the amended Tonnage Tax Act (476/2002), as amended by the Act 90/2012, which entered into force on 1 March 2012. In December 2012, the Board of Directors of Finnlines Plc decided to enter into the tonnage taxation regime as from 1 January 2013. In the tonnage taxation regime, the shipping operations will be transferred from business taxation to tonnage-based taxation. As a consequence, the equity share 75.5 per cent of the depreciation difference (EUR 215.1 million as per 31.12.2012) recorded in the balance sheet of Finnlines Plc (the parent company), will be entered in the equity. The recording has no effect on the equity of the consolidated financial statements of the Finnlines Group. During the years 2013-2022, the deferred tax liability EUR 52.7 million (24.5 per cent) of the depreciation difference will be recorded through profit and loss account in Finnlines Plc’s and in Finnlines Group’s financial statements.
MAIN EVENTS AFTER THE REPORTING PERIOD
Finnsteve-companies (Finnsteve Oy Ab, Containersteve Oy Ab, and FS-Terminals Oy Ab) started on 6th of February 2013 employer-employee adaptation negotiations in the Port of Helsinki according to the collective agreement of Transport Workers’ Union. Finnsteve-companies employ 360 persons in Helsinki.
Mrs Seija Turunen will retire from her CFO/Deputy CEO and Head of Port Operations positions of Finnlines Plc and the managing director positions of Finnsteve-companies (Finnsteve Oy Ab, Containersteve Oy Ab, FS-Terminals Oy Ab and FL Port Services Oy) on the 31st of July 2013 after her contractual notice period. As from the 1st of August 2013, Mrs Turunen will continue with the Company as Executive Advisor to the Board of Directors.
Finnlines adopts new IFRS standard IAS 19 (Employee Benefits). The amendment related to accounting for pension liabilities will decrease Finnlines’ equity by approximately EUR 1.4 million in the first quarter 2013.
OUTLOOK AND OPERATING ENVIRONMENT
Finnlines has continued the re-structuring of its fleet and organisation in order to improve cost efficiency of its vessels and its overall logistics system. With the completed deliveries of the 6 newbuildings the dependency on a volatile charter market has been further reduced.
The Board expects that the year 2013 will still be volatile and challenging.
DIVIDEND DISTRIBUTION PROPOSAL
The Board of Directors will propose to the Annual Shareholders’ Meeting that no dividend be paid out for 2012 due to near to zero result and the still uncertain business environment.
ANNUAL GENERAL MEETING
Finnlines Plc’s Annual General Meeting will be held from 12.00 on Tuesday 16 April 2013 at the Radisson Blue Royal Hotel, Runeberginkatu 2, Helsinki.
The financial statements, the Board of Directors’ Report and the annual report for 2012 will be published during the week commencing on 25 March 2013 at the latest and will be available at www.finnlines.com or at Finnlines’ headquarters, Porkkalankatu 20 A, Helsinki.
The first interim report of 2013, for 1 January – 31 March, will be published on Tuesday, 7 May 2013.
Finnlines Plc
The Board of Directors
Uwe Bakosch
President/CEO
ENCLOSURES
- Consolidated statement of comprehensive income, IFRS
- Consolidated statement of financial position, IFRS
- Consolidated statement of changes in equity, IFRS
- Consolidated cash flow statement, IFRS (condensed)
- Revenue and result by business segments
- Property, plant and equipment
- Contingencies and commitments
- Revenue and result by quarter
- Shares, market capitalisation and trading information
- Calculation of ratios
- Related party transactions
- Reporting and accounting policies
DISTRIBUTION
NASDAQ OMX Helsinki Ltd.
Main media
The information is unaudited.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME, IFRS
| EUR 1,000 | 1 Oct – 31 Dec 2012 | 1 Oct – 31 Dec 2011 | 1 Jan – 31 Dec 2012 | 1 Jan - 31 Dec 2011 |
| Revenue | 138,399 | 144,824 | 609,329 | 605,208 |
| Other income from operations | 479 | 1,025 | 5,702 | 2,515 |
| Materials and services | -58,532 | -62,841 | -247,237 | -247,262 |
| Personnel expenses | -27,659 | -26,464 | -109,009 | -107,948 |
| Depreciation, amortisation and write-offs | -16,773 | -16,019 | -66,095 | -63,512 |
| Other operating expenses | -41,044 | -42,164 | -169,030 | -167,972 |
| Total operating expenses | -144,008 | -147,488 | -591,371 | -586,695 |
| Result before interest and taxes (EBIT) | -5,129 | -1,639 | 23,660 | 21,028 |
| Financial income | 32 | 462 | 747 | 911 |
| Financial expenses | -5,962 | -6,979 | -26,013 | -27,370 |
| Result before taxes | -11,059 | -8,155 | -1,606 | -5,431 |
| Income taxes * | 5,727 | 5,028 | 1,539 | 2,925 |
| Result for the reporting period | -5,333 | -3,128 | -66 | -2,506 |
| Other comprehensive income: | ||||
| Exchange differences on translating foreign operations | -12 | 2 | 2 | -3 |
| Changes in cash flow hedging reserve | ||||
| Fair value changes | 4 | 306 | 13 | -95 |
| Transfer to fixed assets | 1,423 | 3,178 | 2,004 | |
| Tax effect, net | -350 | -79 | -782 | -496 |
| Effect of the tax rate change | -48 | -48 | ||
| Total comprehensive income for the reporting period | -4,268 | -2,947 | 2,345 | -1,145 |
| Result for the reporting period attributable to: | ||||
| Parent company shareholders | -5,332 | -3,128 | -27 | -2,517 |
| Non-controlling interests | -1 | 0 | -39 | 10 |
| -5,333 | -3,128 | -66 | -2,506 | |
| Total comprehensive income for the reporting period attributable to: | ||||
| Parent company shareholders | -4,267 | -2,947 | 2,384 | -1,155 |
| Non-controlling interests | -1 | 0 | -39 | 10 |
| -4,268 | -2,947 | 2,345 | -1,145 | |
| Result for the reporting period attributable to parent company shareholders calculated as earnings per share (EUR/share): | ||||
| Undiluted/ diluted earnings per share | -0.11 | -0.07 | 0.00 | -0.05 |
|
Average number of shares: |
||||
| Undiluted/ diluted | 46,821,037 | 46,821,037 | 46,821,037 | 46,821,037 |
* In Sweden, the corporate tax rate was decreased from 26.3 per cent to 22 per cent starting 1 January 2013. In 2012, the one-time positive effect of the tax rate change is EUR 2.9 million.
As of 1 January 2012 the applicable corporate tax rate in Finland changed from 26 per cent to 24.5 per cent. In 2011, the one-time positive effect of the tax rate change was EUR 3.3 million.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION, IFRS
| EUR 1,000 | 31 Dec 2012 | 31 Dec 2011 |
| ASSETS | ||
| Non-current assets | ||
| Property, plant and equipment | 1,260,295 | 1,258,306 |
| Goodwill | 105,644 | 105,644 |
| Other intangible assets | 6,629 | 8,049 |
| Other financial assets | 4,581 | 4,582 |
| Receivables | 862 | 1,250 |
| Deferred tax assets | 1,792 | 4,395 |
| 1,379,803 | 1,382,225 | |
| Current assets | ||
| Inventories | 9,759 | 8,903 |
| Accounts receivable and other receivables | 74,087 | 76,660 |
| Income tax receivables | 1 | 73 |
| Bank and cash | 16,282 | 4,263 |
| 100,129 | 89,898 | |
| Total assets | 1,479,932 | 1,472,123 |
| EQUITY | ||
| Equity attributable to parent company shareholders | ||
| Share capital | 93,642 | 93,642 |
| Share premium account | 24,525 | 24,525 |
| Fair value reserve | 0 | -2,409 |
| Translation differences | 116 | 114 |
| Unrestricted equity reserve | 21,015 | 21,015 |
| Retained earnings | 289,990 | 290,017 |
| 429,289 | 426,905 | |
| Non-controlling interests | 838 | 877 |
| Total equity | 430,127 | 427,782 |
| LIABILITIES | ||
| Long-term liabilities | ||
| Deferred tax liabilities | 71,444 | 76,015 |
| Interest-free liabilities | 1,325 | 8 |
| Pension liabilities | 2,442 | 2,462 |
| Provisions | 5,100 | 4,562 |
| Interest-bearing liabilities | 632,985 | 665,496 |
| 713,297 | 748,544 | |
| Current liabilities | ||
| Accounts payable and other liabilities | 74,504 | 102,181 |
| Income tax liabilities | 108 | 65 |
| Provisions | 48 | 30 |
| Current interest-bearing liabilities | 261,848 | 193,521 |
| 336,508 | 295,797 | |
| Total liabilities | 1,049,805 | 1,044,341 |
| Total equity and liabilities | 1,479,932 | 1,472,123 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 2011, IFRS
| EUR 1,000 | Equity attributable to parent company shareholders | ||||||||
| Share capital | Share issue premium | Translation differences | Fair value reserves | Unrestricted equity reserve | |||||
| Equity 1 January 2011 | 93,642 | 24,525 | 117 | -3,773 | 21,015 | ||||
| Comprehensive income for the reporting period: | |||||||||
| Exchange differences on translating foreign operations | -3 | ||||||||
| Changes in cash flow hedging reserve | |||||||||
| Fair value changes | -95 | ||||||||
| Transfer to fixed assets | 2,004 | ||||||||
| Tax effect, net | -496 | ||||||||
| Effect of the tax rate change | -48 | ||||||||
| Total comprehensive income for the reporting period | -3 | 1,364 | |||||||
| Equity 31 December 2011 | 93,642 | 24,525 | 114 | -2,409 | 21,015 | ||||
|
|
|||||||||
| EUR 1,000 | Equity attributable to parent company shareholders |
Non-controlling interests |
Total equity |
||||||
| Retained earnings | Total | ||||||||
| Equity 1 January 2011 | 292,534 | 428,060 | 867 | 428,927 | |||||
| Comprehensive income for the reporting period: | |||||||||
| Result for the reporting period | -2,517 | -2,517 | 10 | -2,506 | |||||
| Exchange differences on translating foreign operations | -3 | -3 | |||||||
| Changes in cash flow hedging reserve | |||||||||
| Fair value changes | -95 | -95 | |||||||
| Transfer to fixed assets | 2,004 | 2,004 | |||||||
| Tax effect, net | -496 | -496 | |||||||
| Effect of the tax rate change | -48 | -48 | |||||||
|
Total comprehensive income for the reporting period |
-2,517 | -1,155 | 10 | -1,145 | |||||
| Equity 31 December 2011 | 290,017 | 426,905 | 877 | 427,782 | |||||
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 2012, IFRS
| EUR 1,000 | Equity attributable to parent company shareholders | ||||
| Share capital | Share issue premium | Translation differences | Fair value reserves | Unrestricted equity reserve | |
| Equity 1 January 2012 | 93,642 | 24,525 | 114 | -2,409 | 21,015 |
| Comprehensive income for the reporting period: | |||||
| Exchange differences on translating foreign operations | 2 | ||||
| Changes in cash flow hedging reserve | |||||
| Fair value changes | 13 | ||||
| Transfer to fixed assets | 3,178 | ||||
| Tax effect, net | -782 | ||||
| Effect of the tax rate change | |||||
| Total comprehensive income for the reporting period | 2 | 2,409 | |||
| Equity 31 December 2012 | 93,642 | 24,525 | 116 | 0 | 21,015 |
| EUR 1,000 | Equity attributable to parent company shareholders |
Non-controlling interests |
Total equity |
|
| Retained earnings | Total | |||
| Equity 1 January 2012 | 290,017 | 426,905 | 877 | 427,782 |
| Comprehensive income for the reporting period: | ||||
| Result for the reporting period | -27 | -27 | -39 | -66 |
| Exchange differences on translating foreign operations | 2 | 2 | ||
| Changes in cash flow hedging reserve | ||||
| Fair value changes | 13 | 13 | ||
| Transfer to fixed assets | 3,178 | 3,178 | ||
| Tax effect, net | -782 | -782 | ||
| Effect of the tax rate change | ||||
|
Total comprehensive income for the reporting period |
-27 | 2,384 | -39 | 2,345 |
| Equity 31 December 2012 | 289,990 | 429,289 | 838 | 430,127 |
CONSOLIDATED CASH FLOW STATEMENT, IFRS (CONDENSED)
| EUR 1,000 | 1 Jan-31 Dec 2012 | 1 Jan-31 Dec 2011 |
| Cash flows from operating activities | ||
| Result for reporting period | -66 | -2,506 |
| Non-cash transactions and other adjustments | 89,253 | 85,570 |
| Changes in working capital | -26,481 | 4,840 |
| Net financial items and income taxes | -25,587 | -37,065 |
| Net cash generated from operating activities | 37,118 | 50,839 |
| Cash flow from investing activities * | ||
| Net investments in tangible and intangible assets | -63,121 | -62,398 |
| Disposal of subsidiaries and associated companies | ||
| Investments in shares | -22 | |
| Proceeds from sale of investments | 2 | 59 |
| Other investing activities | 982 | 9,371 |
| Net cash used in investing activities | -62,136 | -52,991 |
| Cash flows from financing activities | ||
| Loan withdrawals | 89,772 | 41,440 |
| Net increase in current interest-bearing liabilities | 30,398 | 28,102 |
| Repayment of loans | -83,377 | -70,209 |
| Increase / decrease in long-term receivables | 237 | 637 |
| Net cash from (used in) financing activities | 37,030 | -30 |
| Change in cash and cash equivalents | 12,012 | -2,181 |
| Cash and cash equivalents 1 January | 4,263 | 6,452 |
| Effect of foreign exchange rate changes | 7 | -8 |
| Cash and cash equivalents at the end of period | 16,282 | 4,263 |
* Capitalised borrowing costs amounting to EUR -2,164 thousand (2011: EUR -2,465 thousand) are included in investments.
REVENUE AND RESULT BY BUSINESS SEGMENTS
| 1 Oct-31 Dec 2012 | 1 Oct-31 Dec 2011 | 1 Jan-31 Dec 2012 | 1 Jan-31 Dec 2011 | |||||
| MEUR | % | MEUR | % | MEUR | % | MEUR | % | |
| Revenue | ||||||||
| Shipping and sea transport services | 130.5 | 94.3 | 136.3 | 94.1 | 574.8 | 94.3 | 563.3 | 93.1 |
| Port operations | 13.8 | 9.9 | 15.3 | 10.6 | 58.5 | 9.6 | 67.7 | 11.2 |
| Intra-group revenue | -5.8 | -4.2 | -6.8 | -4.7 | -24.0 | -3.9 | -25.8 | -4.3 |
| External sales | 138.4 | 100.0 | 144.8 | 100.0 | 609.3 | 100.0 | 605.2 | 100.0 |
| Result before interest and taxes | ||||||||
| Shipping and sea transport services | -1.3 | 0.9 | 34.0 | 30.8 | ||||
| Port operations | -3.8 | -2.6 | -10.4 | -9.8 | ||||
| Result before interest and taxes (EBIT) total | -5.1 | -1.6 | 23.7 | 21.0 | ||||
| Financial items | -5.9 | -6.5 | -25.3 | -26.5 | ||||
| Result before taxes (EBT) | -11.1 | -8.2 | -1.6 | -5.4 | ||||
| Income taxes | 5.7 | 5.0 | 1.5 | 2.9 | ||||
| Result for reporting period | -5.3 | -3.1 | -0.1 | -2.5 | ||||
PROPERTY, PLANT AND EQUIPMENT 2011
| EUR 1,000 | Land | Buildings | Vessels | Machinery and equipment | Advance payments & acquisitions under constr. | Total |
| Acquisition cost 1 January 2011 | 72 | 78,923 | 1,302,037 | 100,460 | 167,050 | 1,648,543 |
| Exchange rate differences | 12 | 12 | ||||
| Increases | 10 | 6,002 | 191 | 57,620 | 63,823 | |
| Disposals | -2,175 | -191 | -10,121 | -12,487 | ||
| Reclassifications | 94,082 | -94,082 | 0 | |||
| Acquisition cost 31 December 2011 | 72 | 76,758 | 1,401,930 | 90,543 | 130,588 | 1,699,892 |
| Accumulated depreciation, amortisation and write-offs 1 January 2011 | -10,510 | -319,792 | -54,615 | -384,917 | ||
| Exchange rate differences | -11 | -11 | ||||
| Cumulative depreciation on reclassifications and disposals | 532 | 191 | 3,824 | 4,547 | ||
| Depreciation for the reporting period | -2,938 | -52,634 | -5,633 | -61,205 | ||
| Accumulated depreciation, amortisation and write-offs 31 December 2011 | -12,916 | -372,235 | -56,435 | -441,586 | ||
| Book value 31 December 2011 | 72 | 63,842 | 1,029,695 | 34,108 | 130,588 | 1,258,306 |
PROPERTY, PLANT AND EQUIPMENT 2012
| EUR 1,000 | Land | Buildings | Vessels | Machinery and equipment | Advance payments & acquisitions under constr. | Total |
| Acquisition cost 1 January 2012 | 72 | 76,758 | 1,401,930 | 90,543 | 130,588 | 1,699,892 |
| Exchange rate differences | 15 | 15 | ||||
| Increases | 533 | 8,212 | 263 | 57,830 | 66,837 | |
| Disposals | -848 | -110 | -11,131 | -12,089 | ||
| Reclassifications | 23 | 187,405 | -187,427 | 0 | ||
| Acquisition cost 31 December 2012 | 72 | 76,466 | 1,597,437 | 79,690 | 991 | 1,754,655 |
| Accumulated depreciation, amortisation and write-offs 1 January 2012 | -12,916 | -372,235 | -56,435 | -441,586 | ||
| Exchange rate differences | -13 | -13 | ||||
| Cumulative depreciation on reclassifications and disposals | 656 | 110 | 10,935 | 11,701 | ||
| Depreciation for the reporting period | -2,787 | -56,902 | -4,772 | -64,461 | ||
| Accumulated depreciation, amortisation and write-offs 31 December 2012 | -15,047 | -429,028 | -50,285 | -494,360 | ||
| Book value 31 December 2012 | 72 | 61,419 | 1,168,409 | 29,405 | 991 | 1,260,295 |
CONTINGENCIES AND COMMITMENTS
| EUR 1,000 | 31 Dec 2012 | 31 Dec 2011 |
| Minimum leases payable in relation to fixed-term leases: | ||
| Vessel leases (Group as lessee): | ||
| Within 12 months | 3,285 | 14,785 |
| 1-5 years | 3,468 | |
| 6,753 | 14,785 | |
| Vessel leases (Group as lessor): | ||
| Within 12 months | 6,251 | 910 |
| 1-5 years | 17,742 | |
| 23,993 | 910 | |
| Other leases (Group as lessee): | ||
| Within 12 months | 6,496 | 6,796 |
| 1-5 years | 17,176 | 17,551 |
| After five years | 16,123 | 13,164 |
| 39,795 | 37,511 | |
| Other leases (Group as lessor): | ||
| Within 12 months | 211 | 204 |
| 211 | 204 | |
| Collateral given | ||
| Loans from financial institutions | 786,395 | 730,563 |
| Vessel mortgages provided as guarantees for the above loans | 1,254,000 | 1,189,500 |
| Other collateral given on own behalf | ||
| Pledged deposits | 471 | 476 |
| Corporate mortgages | 606 | 606 |
| 1,077 | 1,082 | |
| Other obligations | 1,932 | 56,525 |
| Obligations of parent company on behalf of subsidiaries | ||
| Guarantees | 6,913 | 6,913 |
| VAT adjustment liability related to real estate investments | 7,927 | 9,088 |
Open derivative instruments:
| Fair value | Contract amount | |||
| EUR 1,000 | 31 Dec 2012 | 31 Dec 2011 | 31 Dec 2012 | 31 Dec 2011 |
| Currency derivatives | 0 | 231 | 0 | 7,574 |
REVENUE AND RESULT BY QUARTER
| MEUR | Q1/12 | Q1/11 | Q2/12 | Q2/11 | Q3/12 | Q3/11 | Q4/12 | Q4/11 | ||
| Shipping and sea transport services | 135.4 | 126.5 | 155.8 | 148.9 | 153.2 | 151.7 | 130.5 | 136.3 | ||
| Port operations | 15.8 | 18.7 | 15.2 | 18.0 | 13.7 | 15.7 | 13.8 | 15.3 | ||
| Intra-group revenue | -6.2 | -6.1 | -6.4 | -6.6 | -5.6 | -6.2 | -5.8 | -6.8 | ||
| External sales | 145.0 | 139.0 | 164.6 | 160.2 | 161.3 | 161.2 | 138.4 | 144.8 | ||
| Result before interest and taxes | ||||||||||
| Shipping and sea transport services | 2.4 | 2.9 | 16.5 | 11.8 | 16.4 | 15.2 | -1.3 | 0.9 | ||
| Port operations | -2.7 | -3.0 | -1.8 | -1.9 | -2.1 | -2.3 | -3.8 | -2.6 | ||
| Result before interest and taxes (EBIT) total | -0.2 | -0.1 | 14.7 | 9.9 | 14.3 | 12.9 | -5.1 | -1.6 | ||
| Financial items | -6.9 | -6.0 | -6.3 | -7.1 | -6.2 | -6.8 | -5.9 | -6.5 | ||
| Result before taxes (EBT) | -7.1 | -6.1 | 8.4 | 2.7 | 8.1 | 6.1 | -11.1 | -8.2 | ||
| Income taxes | 1.3 | 1.5 | -2.7 | -1.5 | -2.8 | -2.1 | 5.7 | 5.0 | ||
| Result for the reporting period | -5.8 | -4.6 | 5.7 | 1.2 | 5.3 | 4.0 | -5.3 | -3.1 | ||
| EPS (undiluted/ undiluted) | -0.12 | -0.10 | 0.12 | 0.03 | 0.11 | 0.08 | -0.11 | -0.07 |
SHARES, MARKET CAPITALISATION AND TRADING INFORMATION
| 31 December 2012 | 31 December 2011 | |
| Number of shares | 46,821,037 | 46,821,037 |
| Market capitalisation, EUR million | 365.2 | 360.5 |
| 1 Jan – 31 Dec 2012 | 1 Jan – 31 Dec 2011 | |
| Number of shares traded, million | 1.4 | 1.5 |
| 1 Jan – 31 Dec 2012 | ||||
| High | Low | Average | Close | |
| Share price | 8.49 | 6.65 | 7.26 | 7.80 |
CALCULATION OF RATIOS
Earnings per share (EPS), EUR :
Result attributable to parent company shareholders
----------------------------------------------------------------------
Weighted average number of outstanding shares
Shareholders’ equity per share, EUR :
Shareholders’ equity attributable to parent company shareholders
-----------------------------------------------------------------------------------------
Undiluted number of shares at the end of period
Gearing, %:
Interest-bearing liabilities – cash and bank equivalents
--------------------------------------------------------------------------- X 100
Total equity
Equity ratio, %:
Total equity
---------------------------------------------- X 100
Assets total – received advances
Taxes corresponding to the result for the reporting period are presented as income taxes in the interim report.
RELATED PARTY TRANSACTIONS
Redelivery of the two vessels, hired to the Grimaldi Group in September 2011 and April 2012, took place in the second and third quarter of 2012. During the last quarter of 2012, the Company has chartered out one ro-pax vessel to the Grimaldi Group. Otherwise there were no material related party transactions during the reporting period. The business transactions were carried out using market-based pricing.
REPORTING AND ACCOUNTING POLICIES
This bulletin and the interim report included herein is prepared in accordance with IAS 34 (Interim Financial Reporting) standard. The Company has adopted new or revised IFRS standards and IFRIC interpretations from beginning of the reporting period corresponding to those described in the 2011 Financial Statements. These new or revised standards have not had an effect on the reported figures. In other respects, the same accounting policies have been followed as in the previous annual financial statements. All figures in the accounts have been rounded and consequently the sum of individual figures can deviate from the presented sum figure.
The preparation of the financial statements in accordance with IFRS requires management to make estimates and assumptions that affect the valuation of the reported assets and liabilities and other information such as contingent liabilities and the recognition of income and expenses in the income statement. Although the estimates are based on the management’s best knowledge of current events and actions, actual results may differ from the estimates.
