KDM Shipping Public Ltd. (Cyprus), the holding company of the Ukrainian shipping operator Capital Shipping Company (Kiev), made a net profit of USD 3.91 million in January-June 2013, which is only 0.8 % more than its net profit in January-June 2012, and its revenue increased by 26.5% to USD 12.1 million. The Interfax Ukraine news agency reported this, citing the company’s report.
The gross profit of KDM Shipping increased by 6.7% to USD 5.35 million, its EBITDA increased by 1.9 % to USD 4.89 million, and its operating profit reduced by 3.6 % to USD 3.89 million in the first half of this year.
The company's performance indicators were much better in the first quarter of 2013 due to the low comparison base from the first quarter of 2012 (when cargo turnover fell due to heavy snowfalls). In January-March 2013, the company's net profit increased 2.6 times to USD 1.958 million and its revenue increased nearly 2.1 times to USD 5.74 million.
KDM Shipping attributes the deterioration of its profitability to a 9% reduction in freight rates, extension of routes, and a slight increase in the cost of certain transport services (port fees and agency fees).
KDM Shipping transports bulk cargo by river-sea vessels in the Black Sea, the Sea of Azov, and the Mediterranean Sea. Its cargo fleet consists of eight bulk carriers with a combined 25,206 deadweight tons, which have access to the main river ports and seaports of the Black Sea and the Sea of Azov because of their small drafts.
The company also provides passenger transport services on river vessels in the Kiev region (it operates a fleet of eight passenger river vessels) as well as ship repair services at its own shipyard in Kherson.
KDM Shipping earned a net profit of USD 13.57 million in 2012, which is 4.4 % less than it earned a year earlier. Its revenue reduced by 1.5% to USD 28.73 million last year.
