GC Rieber Shipping's operating income increased with 10 per cent and the operating results (EBITDA) with 48 per cent in the second quarter, both numbers compared with second quarter 2010. The financial improvement is due to higher activity and better performance in all segments. The further development in 2011 looks promising, according to the company.
"Our guiding at the last reporting has been indeed accurate, and we expect further improvement in the operation for the rest of 2011," says CEO Irene W. Basili. She is also pleased that the value chain investments are developing positively.
GC Rieber Shipping had operating income of NOK 171.4 million in the second quarter, an increase of 10% compared with corresponding period in 2010 (NOK 155.8 million). The operating income was NOK 70 million higher than in the first quarter this year. EBITDA amounted to NOK 83.6 million, an increase of 48% compared with Q2 2010 (NOK 56.6 million). EBITDA margin in Q2 2011 was 49%, compared with 36% in Q2 2010.
Start up for contracts for "Protector" and new buildings "Polar King" and "Polar Duke", together with sales of multi client data from subsidiary Octio Group, is the key factors explaining the increase in operating income. "Protector" has started on a three year contract with the British Royal Marine. "Polar King" has commenced on a corresponding charter with Technocean, while "Polar Duke" are on a time charter with the seismic company Dolphin until 2016.
"We have a balanced contract portfolio of NOK 1.8 billion with an average duration of 2.9 years," Basili comments. The company's new building program will be concluded during the next half year. "We experience an attention for our vessels which gives us good reasons for optimism for the future", she states.
GC Rieber has informed GC Rieber Shipping that the company has decided to discontinue the negotiations about a merger. See separate stock exchange release regarding this.
Key financial figures for the second quarter 2011:
For further information, please contact:
CEO Irene Waage Basili, phone +47 55 60 68 67, or +47 90 09 86 88
CFO Hans Petter Klohs, phone +47 55 60 68 24, or +47 90 75 05 26
About GC Rieber Shipping:
GC Rieber Shipping's business within offshore/shipping includes ownership in specialized vessels, high quality marine ship management, project development and industrial portfolio management within the segments subsea, ice/support and marine seismic. The group has a unique competence in offshore operations in harsh environments as well as design, development and maritime operation of seismic vessels. Through strategic value chain investments the group has substantial knowledge and experience within subsea and marine seismic.
GC Rieber Shipping currently owns eight and operates nine advanced, multifunctional special purpose vessels for defined markets within the subsea, ice/support and marine seismic segments. GC Rieber Shipping has one subsea IMR/CSV newbuilding for delivery in 2011. GC Rieber Shipping also owns 65 % of Armada Seismic, which owns one high-capacity seismic vessel and has one newbuilding for delivery in the first quarter 2012. The group's strategic value chain investments include the subsea services company Reef Subsea (50 % stake) and the company Octio (61 % stake), which is in the business of permanent reservoir monitoring. GC Rieber Shipping also manages offshore vessels for other owners.
The company has its registered office and headquarter in Bergen with ship management companies in Sevenoaks (UK), Singapore and Yuzhno-Sakhalinsk (Russia), which provides international presence. The company is listed on Oslo Børs with ticker RISH. Further information is available on the company's website www.gcrieber-shipping.no