VIKING Reports 10 Years of Profit Growth

Posted by Eric Haun
Thursday, March 13, 2014
Henrik Uhd Christensen

VIKING Life-Saving Equipment A/S announced its 2013 financial results, reporting growth in both turnover and profits for 10 straight years.

The Danish-based company with a worldwide presence said it has “once more beaten the odds in an industry plagued by reductions in passenger and cargo ship newbuilds, falling exchange rates in key markets and downward price pressure.”

Adjusted for falls in the U.S. dollar exchange rate, currencies pegged to the dollar, and European member state non-euro currencies, the company’s turnover for 2013 increased 6 percent to DKK 1.612 billion, VIKING said. Profit before tax grew more than 20 percent to a record DKK 141.2 million.

“Our earnings have now reached an appropriate level for a healthy manufacturing company,” says VIKING CEO Henrik Uhd Christensen. “In 2013, VIKING achieved moderate growth in turnover, and the increased profit level primarily reflects internal improvements. We have, in fact, been able to reduce the costs of administration, logistics and production while simultaneously strengthening customer service.”

Long-term strategy in a sluggish market
As a manufacturer of maritime safety equipment, VIKING is closely tied to the newbuild market for passenger and cargo ships, a market that the company said has been declining in recent years. Southern European countries, in particular, the traditional stronghold of ferry traffic in the Mediterranean, are still feeling the effects of the economic crisis. Moreover, low economic growth rates in several large markets have had considerable influence on global cargo traffic which, in turn, affects contracts for new cargo ships.

“We have been able to handle the worldwide market saturation of recent years because VIKING’s owners take a long-term approach to expanding our global market position, focusing on growth and making sure we are right where our customers are,” said Henrik Uhd Christensen. “During the crisis years, we have continued to develop a competitive product portfolio based on concepts and services tailored to each customer’s specific needs.”

Offshore market continues to grow
Henrik Uhd Christensen points to the VIKING Shipowner Agreement, where his company offers to take care of all aspects of a shipowner’s safety equipment and servicing tasks for predictable, transparent prices. It’s a concept that addresses shipowner needs for flexibility at a time where access to financing is limited, and has quickly become the industry’s gold standard since its launch four years ago.

With its broad product portfolio, VIKING has also been able to compensate for slower activity in some market segments by expanding in more promising ones. Here the offshore industry stands out, with growth rates fueled by continued high oil prices.

“As the hunt for new oil and gas discoveries moves further from shore, higher-quality safetyequipment and servicing arrangements are necessary,” said Henrik Uhd Christensen. “With a product range well-suited to the North Sea and polar conditions, and with a specialised offshore business unit based in Norway, VIKING is uniquely positioned to dominate the offshore market for the foreseeable future.”

2014 just as difficult
Despite difficult prevailing market conditions, VIKING expects to see growth both in turnover and profit during 2014.

“We are again facing a challenging year where there is little room for improvement in newbuilds, or strong growth in other areas. We expect the passenger and cargo markets will marginally improve, and that the offshore market will continue to show its strength. Within these largely unchanged parameters, we will continue to be on the offensive with our products and services, tailored to individual customer needs,” said Henrik Uhd Christensen.

The positive earnings for 2013, combined with a conservative dividends policy, have contributed to further strengthening the company. VIKING’s equity at the end of the financial year amounted to DKK 617.2 million.

viking-life.com

  • VIKING Offshore Evacuation System

    VIKING Offshore Evacuation System

Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Odfjell Drilling in Tighter 2Q North Sea Market

Odfjell Drilling reports second quarter 2014 financial results showing a profit of US$29-million. Profit & loss Q2 2014 Operating revenue for Q2 2014 was USD 272 million (USD 289 million),

Brazil AHTS Contract Breakthrough for Havyard

Havyard says it is to deliver the ship design and equipment for four anchor handling tug supply (AHTS) vessels that are to be built and operated by the Brazilian

Darwin, Australia Scene of KAKADU Exercise Planning

Over 1,200 military personnel from the Asia Pacific and Indian Ocean regions have completed collaborative, tactical warfare planning during the first week of the

Finance

Odfjell Drilling in Tighter 2Q North Sea Market

Odfjell Drilling reports second quarter 2014 financial results showing a profit of US$29-million. Profit & loss Q2 2014 Operating revenue for Q2 2014 was USD 272 million (USD 289 million),

DP World 1H 2014 Profit Soars

Global marine terminal operator DP World releases strong financial results from its global portfolio of marine terminals for the six months to 30 June 2014, delivering

British WWl Warship Refurbishment Project

Northern Ireland Office Minister, Dr Andrew Murrison MP, visited the historic HMS Caroline in Belfast’s Titanic Quarter as restoration grants are received, informs the UK Government.

News

BMT WBM to Showcase TUFLOW at World Bank Seminar

BMT WBM ( (BMT), a subsidiary of BMT Group Ltd, a leading international engineering and risk management consultancy, is delighted to announce that it will be presenting

Rosneft and AVTOVAZ Strengthen Strategic Cooperation

Rosneft President, Chairman of the Management Board Igor Sechin and AVTOVAZ President Bo Inge Andersson signed an Agreement of development of strategic cooperation,

RWE Dea Helps Cleveland Juniors Reach Goals

Yesterday, a new club house for the Cleveland Juniors Football Club in Middlesbrough in northern England was officially opened. With support from RWE Dea, the

Marine Equipment

Daihatsu Joins ClassNK Research Project

Classification society ClassNK announced that it will embark on a joint research project together with Daihatsu Diesel Mfg. Co., Ltd. Through the partnership, ClassNK

GPS Discharge Control System for Food Waste

Through a cooperation with Marine Position AB, Uson Marine AB can now offer functionality from the Seatrade award winning system Environmental Navigator for its

Kongsberg to Supply FPSO Safety System

Kongsberg Maritime Engineering (KME), the wholly owned Engineering, Procurement and Construction (EPC) subsidiary of global maritime technology developer Kongsberg Maritime,

Maritime Safety

Long Beach Cargo Operations Resume

Repair work begins after storm surges subsides The Port of Long Beach resumed full cargo-handling operations Thursday, Aug. 28, after a lessening of storm surges

Ferry Runs Aground in Lynn Harbor

Ferry Cetacea ran aground about a quarter of a mile from the pier in Lynn Harbor, Massachusetts yesterday, with 13 passengers and four crew aboard, the U.S. Coast Guard (USCG) reported.

Helideck Safety System to Launch at SMM

Amarcon and Observator Instruments will develop a helideck monitoring and forecasting system to improve the safety of helicopter landings and take-offs from a vessel.

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Salvage Ship Simulators Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | terms and conditions | 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: 0.1989 sec (5 req/sec)