Braemar Shipping Services underlying profits boosted by growth in financial, shipbroking divisions
Source - SMW
Braemar Shipping Services reported improved underlying annual profits led by its financial and shipbroking divisions, though the company said there was 'still much more' to do.
For the 12 months ended 28 February, underlying pre-tax profits rose to £8.9m from £6.9m a year earlier, as revenue increased 14% to £117.9m.
The financial division reported revenue of £7.0m, up from £3.7m a year earlier, and revenue in its Shipbroking division for the year increased to £75.5m from £61.8m a year earlier.
But its logistics division saw revenue reduced marginally from £33.2m to £32.1m, while its port agency business performed steadily in with revenue and underlying operating profit broadly in line with expectations.
'Braemar achieved good progress during 2018 but there is still much more to do and further opportunities to develop as we return the Group to growth,' the company said.
The company declared a final dividend of 10.0p a share, giving an unchanged full year dividend of 15.0p.
The implementation of International Maritime Organisation's (IMO) low sulphur fuel regulations, which become effective internationally on 1 January 2020, would have multiple effects but overall is expected to have a positive effect on freight markets, especially for tankers,' the company said.
'In addition, our investment in new talent, particularly in the dry cargo sector, is contributing well and adding to the breadth of our Shipbroking business.'