Irish Ferries sees revenue increase as freight market rises

Irish Continental Group (ICG) has seen an 18% rise in its freight market iIn the 20 weeks up to May 17, 2014.

issues this interim management statement which covers carryings up to 17 May 2014 (i.e. 20 weeks) and financial information for the first four months of the year, i.e. January to April. It should be noted that ICG's business is significantly weighted towards the second half of the year when normally a higher proportion of the Group's operating profit is generated than in the first six months.

In the Roll on Roll off freight market, Irish Ferries carried 87,900 units, an increase of 18% compared with the same period in 2013, reflecting the additional capacity of the 'Epsilon' and a growing freight market.

Container freight volumes shipped increased 1% to 107,800 teu (twenty foot equivalent units), while units handled at their terminals in Dublin and Belfast rose 6% year on year, over the same period, to 69,700 lifts.

In the same period, Irish Ferries carried 95,000 cars, an increase of 5% on the previous year.

While car passenger numbers were up, in line with the car volumes, total passenger volumes were in line with the previous year at 441,100 due to a fall in foot passenger carryings.

During the period the group started a weekly Dublin to Cherbourg service, operated by the recently chartered 'Epsilon', alongside eight other round trips on Dublin-Holyhead.

Total sailings operated across all routes were up as a result by 17%.

In the first four months of the year, Group revenue rose 5.8% to €76.7m, compared with €72.5m in the same period last year.

Operating costs (before depreciation & amortisation) were 9% higher at €73.8m, versus €67.7m the previous year, mainly reflecting the incremental operational and port costs of operating 'Epsilon'.

Earnings before interest, tax, depreciation and amortisation (EBITDA) were €2.9m compared with €4.8m in the same period in 2013.

The operating loss was €2.6m compared with an operating loss of €1.1m in 2013. There was a net finance charge of €1.7m, down €0.3m compared with the previous year. The loss before tax was €4.3m (2013: loss of €3.1m).

Following the (previously announced) accelerated receipt of charter hire on the deferred sale of the vessel, 'SPL Princess Anastasia' (formerly Pride of Bilbao), to St Peter Line of St Petersburg, Russia, the Group's net debt at the end of April was €72.3 million compared with €93.4 million at 31 December 2013.