In 9m 2019, the company recorded a decrease in sales of 6.4% YoY, increase in EBITDA of 31.1% and a net loss of HRK -6.4m.

As Atlantska Plovidba published their 3Q 2019 report, we are bringing you key takes from it. According to the report, in the first nine months of 2019, the company transported 5.6m tons of cargo. Of that, coal makes up for roughly two thirds, followed by minor bulk and iron ore.

Freight Carried in 9m 2019 (%)

Currently, Atlantska Plovidba operates with 12 vessels, of which 5 are classified as Panamax, 5 as Supramax and 2 as Handy. Of those, 6 vessels are employed on a long-term lease (> 1 year), while 6 are employed on short term lease (< 1 year). In the mentioned period, the fleet utilization rate amounted to 98.48%.

According to the company reports, average daily freight rate in 9m 2019 amounted to slightly above USD 10,500 per day, while BDI freight rate amounted to roughly USD 10,000 per day.

BDI Index (2015 – 29.10.2019)

In the first nine months of 2019, the company observed a decrease in sales of 6.1%, amounting to HRK 224.4m. The company does not provide much information about the Q3 results, but one can notice that during the mentioned period, both Supramax and Panamax spot earnings were lower (most of the time) compared to the same period last year. In Q3 solely, Panamax and Supramax earnings picked up and surpassed last years figures, which can be seen in Atlantska Plovidba’s Q3 sales, which recorded an increase of 2% YoY.

Operating expenses observed a decrease of 7.3% YoY, amounting to HRK 211.7m. The aforementioned decrease could be attributed to lower material costs by HRK 46.95m, which were partially offset by higher amortization (+HRK 23.2m).

Consequently, the company observed a higher EBITDA of 31.1% amounting to HRK 110m, while EBIT amounted to HRK 46.8m (+6.6% YoY).

Going further down the P&L, in 9m 2019, the company recorded a net financial loss of HRK -53.2m which represents an increase in loss of HRK 13.95m. The mentioned increase could be attributed to higher interest payments in 9m 2019.

As a result of, Atlantska Plovidba observed a net loss of HRK -6.4m, compared to HRK 4.7m in the same period last year.

Atlantska Plovidba Performance (9m 2018 vs 9m 2019) (HRK m)