In H1 2022, sales increased by 57.1%, EBITDA increased by 77.8%, while net profit increased 178.8% and reached HRK 127.2m.
In the first six months of 2022, the company transported 3.2m tons of cargo. Of that, coal makes up roughly 61%, followed by minor bulk and iron ore with c.31% and 6%, respectively.
Atlantska Plovidba operated with 12 vessels, of which 5 are classified as Panamax, 5 as Supramax and 2 as Handy. Of those, 4 vessels were employed on a long-term lease (> 1 year), while 8 were employed on a short-term lease (< 1 year). In the mentioned period, the fleet utilization rate amounted to 97%.
According to the company reports, the average daily freight rate in H1 of 2022 rose sharply to roughly USD 21,449 per day. We also note that the company’s average freight rate increased on an MoM basis and as of June stood just slightly above USD 22,000.
As a result of the favorable environment, in the first half of 2022, the company observed a steep increase in sales of 57.1%, amounting to HRK 305.9m.
Operating expenses in H1 observed an increase of 25% YoY, amounting to HRK 162.9m. The aforementioned increase could be attributed to higher material costs (+20% YoY) and higher employee costs (19.5% YoY).
Therefore, as a result of higher growth in sales than operating expenses, EBITDA increased 77.8% and reached HRK 188.8m. Such a result led to the EBITDA margin being higher as well, at 61.7% (+7.2 p.p.). Going further down the P&L, the company recorded EBIT of HRK 147.4m compared to EBIT of HRK 72.5m in H1 of 2021.
At the same time, Atlantska Plovidba recorded a net financial loss of HRK 20.2m, which represents a decrease in loss of HRK 6.7m on a YoY basis. The mentioned decrease could be attributed to somewhat higher interest revenue in H1 2022. As a result of all of the above, the company’s bottom line increased 1788.8%, reaching HRK 127.2m, compared to a profit of HRK 45.6m in H1 of 2021.
We should also emphasize that during the first three months, Company announced the selling of one of its boats, classified as Supramax. Transaction price amounted to HRK 140.1m. Atlantska Plovidba will deliver the boat in the last quarter of 2022 and will be operating the boat meanwhile. Transaction will positively impact on Company’s cash flow.
Furthermore, we emphasize that yesterday, Atlantska Plovidba announced one of its boats (AP Revelin) was hit while leaving Port Arthur and suffered a significant material impact (with no human casualties and no consequences for the environment). As a result of this event, repairs will be necessary, which will cause a significant loss of usable ship time.
ATPL Financials (H1 2022 vs. H1 2021, HRKm)
