WWH's Q1 2013 Profits Dip

Press Release
Wednesday, May 08, 2013

Wilh. Wilhelmsen Holding ASA (WWH) operating profit and total income declined quarter on quarter and year over year.

The company attributes the decline in profits mainly as a consequence of continued drop in shipping volumes and a less favourable cargo mix, and in the second quarter, the group’s activity level is expected to be in line with the first quarter.

Operating profit for the first quarter was USD 78 million (USD 106 million), down 27% compared with the same period last year and a decrease of 19% from the previous quarter. Total income ended at USD 864 million (USD 946 million), a reduction of 9% year over year and 4% quarter on quarter.

“The beginning of 2013 has been challenging following the expected decline in shipping volumes, a less favourable cargo and trade mix and lower fleet utilisation. Earnings from our logistics activities improved compared with previous quarters, but do unfortunately not offset the reduced contribution from our shipping segment,” says Thomas Wilhelmsen, group CEO in WWH when explaining the decline in total income and operating profit.

Mr Wilhelmsen continues: “The maritime services segment’s total income increased 2% quarter on quarter based on higher income within ship management and technical solutions. The ships service business area experienced a minor reduction in total income. The operating profit was, however, down following a less optimal product mix within the ships service area, a somewhat weaker USD and a low margin within the growing technical solutions’ business area,” says Wilhelmsen.

“Income from our investment in the NorSea Group was up first quarter. Gain from property sales offset the impact from the seasonal reduction in activity,” explains Wilhelmsen.

The annual general meeting held on 25 April 2013 resolved to pay a dividend of NOK 3.50 per share. The dividend is payable on or about 14 May.

Commenting on the group’s future prospects, Mr Wilhelmsen says: “The shipping market in general is weak. For maritime services the situation impacts owners’ purchasing capabilities and puts pressure on demand and operating margin. For our shipping activities, we expect volumes to stabilise in the coming months. Our main concern is related to the development within the high and heavy segment.”

The group says it has a strong financial position and is well positioned to benefit from the growth potential of the markets in which it operates.

Maritime Reporter October 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Cutter Diligence to Return

The crew of the Coast Guard Cutter Diligence is scheduled to return to their homeport in Wilmington Saturday following a 45-day patrol in the Caribbean Sea. During their patrol,

Zarmati joins Fathom

Fathom has engaged 44-year cruise industry veteran Maurice Zarmati to work with the burgeoning company. Fathom, which provides a different kind of cruise that

HMS Protector Deployed to Antarctic

Ice ship HMS Protector is heading for waters no Royal Navy vessel has visited in 80 years as she begins a marathon deployment to Antarctica. The Plymouth-based


Moody Upgrades Port of Palm Beach

The Port of Palm Beach District announced that Moody’s Investors Service, Inc. upgraded the Port of Palm Beach District senior rating to Baa3 from Ba1, and reported the outlook to be stable.

Commodity Surge Boosts World Equities; Dollar Falls

Major world stock markets were poised for their biggest weekly advance since 2011 on Friday, as greater investor appetite for riskier assets propelled gains in

Commodities See Biggest Price Jump in 3 Years

Commodities jumped on Friday, headed for their largest weekly gain in more than three years as base metals roared higher after Glencore pledged to slash zinc output

Maritime Contracts Maritime Standards Naval Architecture Offshore Oil Pipelines Pod Propulsion Salvage Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1887 sec (5 req/sec)