Sluggish Industry Affects SAAM’s Earnings

Image Courtesy: SAAM

Chilean port, towage and logistics services provider SAAM has seen its net income for the first quarter of 2017 plunge by 44.8 percent to USD 8.1 million, from USD 14.6 million seen in the corresponding period of 2016.

SAAM informed that its operating results for the period were also down by 20.5 percent to USD 23.4 million from USD 29.4 million reported in the first quarter ended March 31, 2016.

Additionally, the company’s EBITDA for the quarter stood at USD 49.3 million, down from USD 51.7 million, representing a decrease of 4.5 percent year-on-year.

The company said that the results are a reflection of the context facing the industry, marked by a sluggish regional economy, greater uncertainty in the international market and a consolidation trend among shipping companies, which continues to put pressure on rates for services used for foreign trade.

Despite a less active market, SAAM’s towage division reported stable results for the quarter. The company’s port terminals division reported poor performances from the ports in Chile, especially San Antonio and San Vicente, offset by strong performances in Guayaquil and Florida.

The company said that it plans to make a total of USD 85 million in consolidated investments, including equity-method associates, in 2017. Most of these investments will be in the port terminals division to finish expansion projects.

“We dealt with complex circumstances but, in our business, the outlook is long-term. We are completing important investments to expand the capacity of our terminals in Guayaquil, San Antonio and San Vicente. We also added a new port (Caldera in Costa Rica) to our portfolio early in the year and continue to explore and evaluate new business opportunities in the region,” Macario Valdés, SAAM’s chief executive officer, said.

SAAM added that its logistics division experienced a sharp drop in activity. This reduced activity, coupled with costs incurred to restructure and refocus its operations, negatively impacted earnings, the company informed.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2017 >>
MTWTFSS
30 31 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 1 2 3

Maritime Information Warfare 2017

Maritime Information Warfare will focus on the growing need for navies to develop their information exploitation capabilities…

read more >

INTERNATIONAL GREEN SHIPPING AND TECHNOLOGY SUMMIT

The Summit will gather key marine experts and companies around the globe which have a big influence in the industry…

read more >

The CWC 18th Annual World LNG Summit & Awards Evening

The CWC World LNG Summit will continue to give you access to premium networking opportunities as it brings together the who’s who…

read more >

Marintec China 2017

The largest maritime event in Asia Pacific, Marintec China connects maritime professionals from the entire shipbuilding supply chain together.

Over the years, Marintec China has grown to reflect the size and importance of the Asian maritime market. 2015 event is another record-breaking edition with the largest exhibition area and the highest number of industry professionals attending ever. The encouraging figures proven that China remains one of the major shipbuilding nations and Marintec China has been the most authoritative platform in Asia.

With the maritime industry facing great opportunities but also many challenges, it is important for the industry to connect and engage more to ultimately win new business in globally-significant markets. A visit to Marintec China is a great way to learn about the latest technology and innovation of the supply industry, a platform for industry professional to meet face to face, make connection and do business.

Marintec China is poised to be the definitive event and is undoubtedly a must-attend for all involved in the maritime industry.

Marintec China will be held from 5 to 8 December 2017 at the Shanghai New International Expo Centre in Shanghai, China and continue its dedication to serve as the “LEADING” platform “CONNECTING” the community and “STRENGTHENING” the maritime industry.

Marintec China offers the perfect opportunity for companies serving the maritime market to showcase their innovations, products and services to a wide audience. A platform for face to face meetings in business, creating new relationships and consolidating existing ones.

More info

read more >