Trading Update
ACM Shipping Group plc (AIM: ACMG), a leading international tanker broker, is pleased to announce an update on its trading for the financial year ended 31 March 2009. The Group expects to announce its preliminary results for the year ended 31 March 2009 during the week commencing 22 June 2009.
The Group performed well during the year ended 31 March 2009 and the Board anticipates that the outcome for the year will be significantly ahead of current market expectations.
Trading across the Group has continued to be strong since it announced its interim results on 3 December 2008 with most areas of the Group's business outperforming expectations. The Group's spot brokerage desks continued to perform well. The UK, Singapore and Indian desks all performed well in the second half. Harris & Dixon, the specialist small oil tanker broker, which ACM acquired at the end of the first half flourished and the integration of the two businesses has worked well and is producing a strong performance. The continued high level of activity in the freight futures market also resulted in significant returns for the Group's 50 per cent. joint venture with GFI Group, Inc. In addition, the strengthening of the US dollar against the pound in the second half had a positive impact on the Group's profitability.
Despite the decline in wet charter rates, the spot brokerage desks continued to perform well and continued to increase its level of spot fixtures. The Group anticipates that wet charter rates will be lower in the coming year. However, there is still a strong demand for oil which needs to be transported and ACM expects the decline will not compare with the fall of dry charter rates.
The sale and purchase desk has maintained its activity and there were a number of contracts which completed in the second half of the year. The decline in the number of vessels changing ownership, may result in some slow down in the coming year but the Group is confident of a reasonable performance.
Johnny Plumbe, Chief Executive Officer of ACM, said: "The Board is delighted with the continued performance of the Group. This is down to our excellent team of highly committed brokers and our excellent knowledge of the tanker market, which remains our main focus. The Group's time charter business remains robust and our current order book stands at US$25 million.
"Due to the strong fundamentals of the business, the Board continues to be confident for the outlook for 2009/2010. However, whilst the Group is not immune from the wider economic environment which naturally affects both currency and oil consumption, ACM continues to work to minimise these fluctuations and the Group remains optimistic about the next financial period but enters it with caution. We look forward to further updating our shareholders of the Group's progress at our final results in June."
For further information, please contact:
ACM Shipping Group plc |
|
| Johnny Plumbe, Chief Executive Ian Hartley, Finance Director ihartley@acmshipping.co.uk |
Tel: +44 (0) 20 7930 7555 www.acmshipping.com |
| Noble & Company Limited | |
| John Llewellyn-Lloyd john.llewellyn-lloyd@noblegp.com Sam Reynolds sam.reynolds@noblegp.com |
Tel: +44 (0) 20 7763 2200 www.noblegp.com |
Media enquiries:
| Abchurch | |
| Joanne Shears / Stephanie Cuthbert stephanie.cuthbert@abchurch-group.com |
Tel: +44 (0) 20 7398 7700 www.abchurch-group.com |
Notes to Editors
ACM is one of the world's principle tanker ship brokers and has established itself as the market leader in oil transportation. The Group's key activities are spot brokerage freight, time charter, project brokerage, sales and purchase, derivatives brokerage, research and consulting.
Established in London in 1982, the Group has since expanded its international operations with offices based in London, Singapore, India and China. ACM employs over 90 brokers and support staff who provide clients with global experience and intimate local knowledge of the world's shipping centres. The Group has a strong network of clients which include major oil producers, independent oil traders, ship-owners and operators. The business has been profitable every year since it was founded.
ACM was admitted to AIM on 6 December 2006. For more information on the Group please visit www.acmshippinggroup.com