Irish Continental Trading Statement

 
TIDMICGC 
 
 
   Trading update 29 November 2018 
 
 
 
   Volumes (Year to date, 24 November 2018) 
 
 
 
 
Financial summary 
                            2018     2017    Change 
Cars                       365,400  393,800   -7.2% 
RoRo Freight               257,000  259,200   -0.8% 
Container Freight (teu*)   299,800  293,300   +2.2% 
Terminal Lifts             283,200  269,500   +5.1% 
 
 
   *teu: twenty foot equivalent units 
 
   Irish Continental Group (ICG) issues this trading update which covers 
carryings for the year to date to 24 November 2018 and financial 
information for the first ten months of 2018, i.e. 1 January to 31 
October with comparisons against the corresponding period in 2017. All 
figures are unaudited. 
 
   Consolidated Group revenue in the period was EUR285.3 million, a 
decrease of EUR3.6 million or 1.3% compared with last year. The revenue 
decrease is attributable to sailing disruptions and schedule changes in 
the Ferries Division offset by revenue growth in the Container and 
Terminal Division. External charter revenues were also EUR4.9 million 
lower following the sale of the Kaitaki in May 2017 and Jonathan Swift 
in April of this year. 
 
   For the year to date Group fuel costs continued to be impacted by higher 
average fuel prices compared to the prior year. 
 
   Net cash at the end of October was EUR33.9 million which includes cash 
generated from trading to date net of the 20% deposit payment on the 
second new vessel and proceeds from the sale of the Jonathan Swift. 
 
   There is heightened uncertainty at the moment over the manner of the 
proposed exit of the United Kingdom from the European Union. This is 
bound to be affecting the timing of corporate investment decisions and 
continued uncertainty may have a negative impact on consumer sentiment. 
 
   Ferries Division 
 
   Total revenues recorded in the period to 31 October amounted to EUR172.1 
million (including intra-division charter income), a EUR12.3 million or 
a 6.7% decrease on the prior year. EUR4.9 million of the decrease is 
attributable to lower external vessel charter earnings following the 
disposal of the Kaitaki in May 2017 and the Jonathan Swift in April 
2018. 
 
   For the year to 24 November, Irish Ferries carried 365,400 cars, a 
decrease of 7.2% on the previous year, on the back of a 7.3% loss in 
sailings (including planned reduced fast craft sailings of 20% due 
principally to a decision not to operate the Swift in the Winter). In 
the period since 30 June car carryings decreased by 11.2% compared with 
the same period last year. 
 
   Freight carryings for the year to 24 November were 257,000 RoRo units, a 
decrease of 0.8% compared with 2017, on the back of a 4.1% loss in 
cruise ferry sailings (i.e. excluding fastcraft sailings). In the period 
since 30 June carryings decreased by 5.6%. 
 
   Carryings in the period July to date compared to the prior year were 
adversely affected by significant disruptions to the schedules on the 
Dublin Holyhead route due to technical difficulties affecting the 
flagship vessel Ulysses. While Irish Ferries adjusted its fleet 
allocations to reduce the effect of these disruptions there remained a 
significant reduction in capacity. 
 
   The Jonathan Swift was sold in April 2018 generating a profit after tax 
of EUR13.7 million. The container vessel Ranger remains on time charter 
to a third party while the "Elb" vessels remain on time charter to the 
Group's container shipping subsidiary Eucon. 
 
   The W.B. Yeats, currently under construction by Flensburger 
Schiffbau-Gesselschaft & Co. KG ("FSG") completed its sea-trials in 
early November and is undergoing final delivery adjustments. FSG have 
advised ICG that the W.B. Yeats will be ready for delivery during early 
December. ICG would like to apologise once again for any disruption 
caused to our tourism and freight customers due to the delay in FSG 
delivering the ship, a delay that was an extraordinary event totally 
outside the control of ICG. FSG are contracted to deliver a second new 
vessel during 2020. 
 
   Container and Terminal Division 
 
   Total revenues recorded in the period to 31 October amounted to EUR120.1 
million, an 8.0% increase on the prior year. 
 
   For the year to 24 November container freight volumes shipped were up 
2.2% on the previous year at 299,800 teu, with the rate of growth of 
3.8% in the period since 30 June. 
 
   Units handled at our terminals in Dublin and Belfast increased 5.1% year 
on year to 283,200 lifts. In the period since 30 June terminal 
throughput increased by  5.0%. 
 
   Dublin 
 
   29 November 2018 
 
   Enquiries 
 
   Eamonn Rothwell, CEO,                                                    [phone] 
 
 
   David Ledwidge, CFO,                                                        [phone] 
 
 
 
 
 

(END) Dow Jones Newswires

November 29, 2018 02:00 ET (07:00 GMT)

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