Sovcomflot sees IFRS net profit fall 38% to $33.1 mln in 2012
MOSCOW. April 12 (Interfax) - OJSC Sovcomflot (SCF) saw its net profit to International Financial Reporting Standards (IFRS) fall 38% to $33.1 million in 2012, according to the company's financial statement.
Time charter equivalent revenues edged up 0.2% to $929.6 million last year, with combined revenue rising 0.3% to $1.443 billion. Income from oil transport fell 4% to $675 million, revenue from petroleum product transport declined 3.4% to $425 million, and income from gas transport was down 1.4% to $86.5 million. SCF earned $201 million from offshore transport, up 5.8%. Revenue from transport of other types of freight soared 190% to $55 million.
In February 2013, SCF entered into an agreement with a third party for the sale of part of the onshore infrastructure constructed in connection with preparations of the Olympic sites for the 2014 Winter Olympic Games in Sochi for a consideration of 707.5 million rubles. Legal ownership of the property is expected to be transferred no later than February 1, 2014, the report said.
SCF has a lower-tier subsidiary in Sochi called OJSC Sochi Commercial Seaport.
According to the report, SCF had $25.8 million on current accounts with Cyprus state-controlled bank Laiki as of March 25, 2013. "There is a significant risk that a large part of these funds will not be recoverable and for the immediate future are blocked and not accessible. Management is not able to estimate the amount of potential losses at the date of approval of these financial statements," the document said.
SCF is the largest shipping company in Russia, specializing in the transportation of oil, petroleum products and liquefied gas. It is also one of the biggest tanker fleet operators in the world. The company is wholly owned by the Russian government and manages 159 ships.
The Russian government was previously planning to sell off 25% of SCF's shares this year. However, the sale might not occur because of the poor situation on the freight market. A source at one of the economic and finance ministries told Interfax that the government may sell a quarter of the company only on the condition that it will sell for more than $500 million. According to the latest forecast published by the Economic Development Ministry, proceeds from the sale of this stake are estimated at 10.6 billion rubles.