RPONL is today announcing its first half results for the 6 months ended 30 June 2005. Highlights of these results are as follows:
- Operating profit up by 92% to $213 million (2004: $111 million*)
- Revenue up by 15% to $3,617 million (2004: $3,135 million)
- Average freight rates up 13% on first half 2004
- Volume up by 3% on first half 2004
- Trading outlook continues to be positive
Commenting on the results and the outlook for the year, Royal P&O Nedlloyd CEO, Philip Green, said:
"We have made excellent progress during the first half of 2005 and the outlook for the full year remains positive. Notwithstanding increased operational cost pressures, the successful implementation of our yield management programme has contributed to our improved profitability. In addition, the supply and demand balance for the container shipping industry has resulted in strong freight rate and revenue growth.
As stated in our trading update of 21 July, and subject to any unforeseen change in the economic environment, we currently expect to achieve profit before interest and tax for 2005 of not less than $550 million."
RPONL's actual comparative results for 2004 consolidate 100% of P&O Nedlloyd from April 2004 and reflect its 50% shareholding prior to that date. To provide meaningful year on year comparison, we have provided proforma information for 2004 as if P&O Nedlloyd had been wholly owned by RPONL throughout 2004. The first half highlights shown above are presented on this basis.
All data in this statement is unaudited. KPMG have reviewed the interim financial information and their review report is set out at the end of this news release.
* adjusted for certain one-off items relating to the acquisition of P&O Nedlloyd in 2004, see note 6.
