Viking Line issues profit warning as second quarter profit dips

Details

Written by Kari Reinikainen Kari Reinikainen

Category: More News More News

Published: 18 August 2016 18 August 2016

Viking Line, the listed Finnish cruise ferry operator, has issued a profit warning, saying that its 2016 operating result would be lower than last year compare to a previous forecast of somewhat lower following a dip in second quarter earnings.

Group net profit fell to €1.6 million in the second quarter from €2.5 million in the same period last year, while revenues fell to €131.1 million from €134.1 million.

In the first six months of the year, the company made a net loss of €8.9 million compared to a €5.7 million loss in the same period last year. Revenues fell by €1.0 million to €238.0 million.

The number of passengers carried in the second quarter was unchanged at 2.90 million from a year ago and the number of freight units also remained stable, at about 67,000. Passenger-related revenue increased by 0.6 % to €214.0 million (212.8 million second quarter 2015), while cargo revenue decreased by 7.2% to €22.5 million (€24.3 million),” the company said in a statement.

“The Group’s vessels served the same routes as during 2015. The extensive vessel modernizations that were carried out during the spring caused longer service interruptions than normal, which adversely affected the Group’s market share,” Viking Line said.

“Competition in Viking Line’s service area means there is greater pressure on prices as well as volumes. The economic trend in Finland is still an uncertainty factor. However, the bunker price has so far had a favourable effect on earnings. The Board of Directors' assessment is now that operating income will be lower in 2016 than in 2015. The Board’s previous assessment was that operating income would be somewhat lower,” the company concluded.

In 2015, Viking Line’s operating income (EBIT) was €26.4 million and net profit €18.7 million.

Palfinger withdraws offer to buy TTS on low acceptance of bid

Details

Written by Kari Reinikainen Kari Reinikainen

Category: More News More News

Published: 17 August 2016 17 August 2016

Palfinger Marine GmbH says has not received acceptances for more than 90% of the shares in TTS, the listed Norwegian marine equipment supplier, on a fully diluted basis and that the offer will not be completed.

“At expiry of the acceptance period, Palfinger had not received acceptances of the Offer exceeding more than 90% on a fully diluted basis, being one of the closing conditions of the Offer as further described in the Offer Document. As a result, Palfinger will not complete the Offer,” Palfinger, which is based in Austria, said in a statement.

“Shareholders in TTS who have accepted the Offer are released from their acceptances, and bondholders under TTS's existing bond loan having entered into separate undertakings towards Palfinger are released from their undertakings,” the company said.

Meyer Turku starts production of Mein Schiff 1, first of two 111,500 gross ton TUI Cruises' vessels

Details

Written by Kari Reinikainen Kari Reinikainen

Category: More News More News

Published: 16 August 2016 16 August 2016

Meyer Turku shipyard in Finland says it has started the production of Mein Schiff 1, which at 111,500 gross tons is larger than the three 99,300 gross ton units the same shipyard has built to the German cruise operator so far and one which is due to be delivered next year.

Mein Schiff 1 will replace the current ship of the same name in the TUI Cruises fleet, which will be transferred to Thomson Cruises in the UK.

The new vessel will have 1,447 passenger cabins to provide accommodation for 2,894 passengers and it will have a crew of 1,000.

A similar vessel is due to be delivered to TUI Cruises in 2019, which will replace the present Mein Schiff 2, which will also be introduced on the British market under Thomson Cruises’ banner.

Vard and Ponant finalise contract for four expedition ships

Details

Written by Kari Reinikainen Kari Reinikainen

Category: More News More News

Published: 12 August 2016 12 August 2016

Vard Holdings Limited, the Norway headquartered shipbuilder 55.6% controlled by Fincantieri, says it has finalised contracts for four luxury expedition cruise vessels with French cruise company Ponant, which is part of the Artemis group in France.

“A Letter of Intent (“LoI”) with respect to the contracts had been announced on 16 March 2016, subject to several conditions being met, including satisfactory financing. At the end of June, Vard and Ponant had entered into shipbuilding contracts. All conditions have now been fulfilled and the contracts have become effective,” Vard said in a statement.

The ice-class expedition cruise vessels will be approximately 10,000 gross tons, about 131 metres long, 18 metres wide and will have a cruise speed of 15 knots. Each vessel can accommodate 180 passengers (92 cabins) and a crew of 110. The vessels will be arranged with high class of luxury facilities on board, fulfilling the highest demands for environmentally friendly and safe operations.

The hulls will be built at Vard Tulcea in Romania. Delivery is scheduled from Vard Søviknes in Norway in the period summer 2018 to summer 2019.