Eimskip reported 3.4% yoy revenue increase in Q3 2016

EimskipIcelandic container carrier Eimskip reported 3.4% yoy revenue increase in Q3 2016, amounting to 134.1 million EUR. The shipping company intends to continue investments in business expansion, posting strong results of the third quarter and first nine months of the current year. Eimskip’s EBITDA for the quarter amounted to 17.8 million EUR, which represents an increase of 23.3% yoy, while the net income of the Icelandic container carrier increased by 10.7% yoy to 9.4 million EUR. The volume of traffic on its services at the North Atlantic increased by 6.8% yoy, while revenues grew by 6.1%. In particular, the carrier reported strong growth in Iceland, the Faroe Islands and Norway. In forwarding segment volumes increased by 4.7%, but revenue declined by 3.8%, due to lower freight rates and lower volumes from China, which began to slow recovery.

Revenues of Eimskip for the first nine months amounted to 373.4 million EUR, which is 1.2% higher than an year earlier. The rvenue of linear units increased by 5.8%, but the freight forwarding decreased by 10.2%. Eimskip’s EBITDA for the period January-September 2016 amounted to 43.6 million EUR, which represents an increase of 22.9% yoy. The net profit of the container shipping company increased by 28.8% to 20 million EUR, as the amount of liner services grew by 8% and forwarding by 3%.

In October Eimskip announced the acquisition of 90% of the Dutch logistics company Extraco Internationale Expeditie B.V., specializing in logistics of refrigerated cargo. In early November, Eimskip has signed an agreement to acquire the Norwegian shipping and logistics company Nor Lines.

In the quarterly report Eimskip said that continues to explore opportunities for further business expansion through the acquisition of other operators and investments in fleet modernization. Currently, the company is considering several options.

Eimskip is the oldest and largest shipping company in Iceland. Eimskip is responsible for the first leg of seaborne traffic between North America and Greenland, prior to Royal Arctic hauling it from Reykjavik to Nuuk,