GC Rieber Shipping - Second quarter and half year 2010

Thursday, Aug 19, 2010

GC Rieber Shipping posted an operating profit before depreciation (EBITDA) of NOK 56.6 million in the second quarter 2010, compared with NOK 51.7 million in the corresponding period in 2009. 

The operating profit (EBIT) in the second quarter amounted to NOK 223.4 million, compared NOK 25.2 million in the corresponding quarter in 2009. EBIT in the second quarter is substantially affected by a NOK 272 million sales gain related to the disposal of the "Polar Queen", while write-downs totalling NOK 71 million are related to goodwill, R&D and vessel equipment. 

GC Rieber Shipping's share of profits in the associated company Reef Subsea amounted to NOK 7.3 million in the second quarter.  Reef Subsea includes the companies Technocean, Scan Mudring and Bluestone Offshore. Reef Subsea thus continues the growth from the first quarter 2010.

GC Rieber Shipping has, through the subsidiary Armada Seismic, during the quarter acquired two 4D seismic newbuildings. The first vessel was delivered end June, and adaptation of the vessel is expected to be complete within the second half of 2010. The second newbuilding is expected to be delivered in Q3 2011. Following a successful private placement of NOK 450 million in Armada Seismic in June, GC Rieber Shipping retains a 65% shareholding in the company.

The news of the passing of CEO Sven Rong during a hike in the mountains on 10 August 2010 were received by the board of directors with great sorrow. Under these sad circumstances our thoughts are with Sven's family.

Following the sudden passing of CEO Sven Rong, the board of directors of GC Rieber Shipping ASA has appointed Hans Petter Klohs (43) as acting CEO, effective as from 13 August 2010. Klohs has up to this date been the CFO of the company. The board of directors prepares for a thorough and broad process to find a permanent successor to Sven Rong.

Key financial figures from the second quarter 2010:

• Operating income of NOK 155.8 million (NOK 184.2 million in the second quarter 2009)
• EBITDA of NOK 56.6 million (NOK 51.7 million)
• Normalised pretax profit of NOK 27.5 million (NOK 14.4 million)
• Liquid assets and net interest bearing debt of NOK 660 million and NOK 554 million as at 30 June 2010
• Contract backlog of NOK 1,243 million as at 30 June 2010
  
  Key financial figures for the six months January to June 2010:
• Operating income of NOK 316.4 million (NOK 330.9 million in the first half 2009)
• EBITDA of NOK 108.9 million (NOK 70.1 million)
• Normalised pretax profit of NOK 40.3 million (NOK 6.4 million)
  
  For further information, please contact:

CEO (acting) Hans Petter Klohs, phone +47 55 60 68 24, or +47 90 75 05 26

VP Finance Einar Ytredal, phone +47 55 60 68 54, or +47 97 52 01 84

Source: GC Rieber