PRESS RELEASE

 

FINANCIAL RESULTS FOR THE 9-MONTH PERIOD (1/1-30/9/2002)

 

·         Significantly higher turnover – profitability improves

·         Operating profit doubles

·         Increase in carryings

·         Successful completion of investment program

 

MINOAN LINES announce the financial results for the nine-month period of 2002, where a significant increase in revenue and profit is portrayed.

 

On a parent company level

The revenue grew to € 141.6 million increased by 16.6% over 2001, whereas earnings before interest, depreciation and amortization (EBITDA) reached € 37.7 million, 87.8% higher than the same period of last year, while the EBITDA margin grew by 10 percentage points from 16.5% to 26.7%. On a net result for the period basis, the loss of the previous year period of €3.2 million was significantly reduced to € 1,7 million. Is is worth noting that interest expenses rose by €6,8 million (+39.2%) while depreciation charges were also higher by €2,2 million (+18.5%) following the addition of new vessels on the company’s fleet. Additionally, the extraordinary profits for the period reached € 5.5 million compared with € 11,7 million of last year mainly arising from the scheduled sale of older vessels. 

On a consolidated level

On the basis of the consolidated results, earnings before interest, taxes, depreciation and amortization (EBITDA) more than doubled reaching € 38.5 million against € 17.8 million in the same period the year before. The EBITDA margin grew to 27.2% from 14.3% in 2001, following strong sales and the tightening of operating expenses.  Net result for the nine months to 30 September, was lifted to a profit of € 835 thousand completely upturning last years’ loss of € 11.7 million.

The strong performance in the nine months of 2002, confirming the company’s budgeted figures, reflects momentum that had been building steadily all year affirming that 2002 will be a year of solidity in the company’s financial sizes and at the same time a turning point for a further improvement in profitability.

Traffic data

The deployment of the new vessels radically changed the market status, leading the company to the first place in term of market share on the Ancona & Venice routes in the Adriatic Sea, while on the Heraklion-Piraeus route the vessels KNOSSOS PALACE and FESTOS PALACE continuously raise their position in customers’ preference, as shown on the following tables.

 

 

 

Market share in Ancona & Venice:

 

 

Investment Program - Prospects

 

The delivery of the H/S/F ARIADNE PALACE, in October 2002, marked the successful completion of the company’s ambitious investment program that involved the construction of seven new ferries. The seven (7) newly delivered ferries together with the two (2) vessels that were constructed in Norway in 1997 and 1998 and the F/B DAEDALUS the only old type ferry, compose one of the most modern fleets in Greek and European passenger shipping.

 

Introducing modern new tonnage is the key determinant of medium and long-term profitability, as it offers substantial competitive advantages, strengthening and reinforcing the company’s market position and simultaneously renewing and modernizing the fleet.

 

Completing 30 years of rich experiences and considerable contribution, MINOAN LINES implement their dynamic business plan, constantly reinforcing their position and competitiveness in the markets where the company is active.

 

MINOAN LINES’

Press Office