OREANDA-NEWS. In the second quarter (1 March - 30 June) of the 2013 financial year AS Tallink Grupp and its subsidiaries’ (the Group) showed continuous revenue growth. Ticket sales and passenger spending from restaurant and shop sales continued to show an increase as well. The Group’s unaudited consolidated revenue for the second quarter of the 2013 financial year increased by EUR 4.2 million or 1.7% compared to the same period last year to EUR 249.0 million.

The Group carried a total of 2.4 million passengers in the second quarter which is 1.0% less compared to the same period last year. The number of cargo units transported amounted to 79.8 thousand, which is 10.9% more than in the same period last year. The number of passengers increased on the Estonia-Finland route by 3.1% but decreased between the Finland-Sweden route by 8.3%, where the competition situation has changed and the Group has decreased its capacity.

In the second quarter of the 2013 financial year the Group’s gross profit amounted to EUR 57.0 million being EUR 0.3 million less than in the previous year. EBITDA amounted to EUR 46.8 million, which is EUR 0.6 million more compared to the same period last year.

In the second quarter M/S Isabelle was purchased and successfully launched on the Riga-Stockholm route, contributing partly to the 5.8% higher revenue from the route. In relation the Group entered into a loan agreement with AS Swedbank to finance the purchase of the cruise ferry M/S Isabelle. The amount of the new loan is EUR 24 million and the maturity is 5 years.

In June 2013 the Group successfully completed the private placement of a NOK 900 million (EUR 118 million) senior unsecured bond issue. The proceeds of the bond issue were used for the refinancing and strengthening of the Group’s financial position, increasing financial flexibility. Accordingly EUR 100 million old loans were pre-paid.

One important strategic milestone in the Group’s lifecycle was reached in May 2013 when the shareholders annual general meeting decided to pay a dividend of 0.05 euros per share. The total dividend amount of EUR 33.5 million was paid out in the beginning of July 2013 (third quarter).

The profit before tax for the second quarter was EUR 18.2 million (EUR 0.03 per share) compared to the EUR 20.0 million a year ago. The decrease in the pre-tax profit was mainly affected by higher financial costs due to the movement in the fair value of derivative instruments and the write off of transaction costs of the prematurely paid loan. Both being non-cash impact. The unaudited net profit for the second quarter was EUR 9.3 million or EUR 0.01 per share compared to the net profit of EUR 20.0 million or EUR 0.03 per share in the same period last year. The main reason to the high decrease on the net profit level is related to the EUR 8.9 million dividend tax expense.

Cash flow from operations increased EUR 3.8 million or 7.4% when compared to the same period of the last year. At the end of the second quarter 2013 the Group had EUR 68.1 million in cash and equivalents and the total of unused credit lines were at EUR 45.19 million. The total liquidity, cash and unused credit facilities at the end of the fourth quarter were EUR 113.3 million providing a strong position for sustainable operations.

The Group’s net debt continued to decrease, amounting to EUR 767 million in the end of the second quarter.