After it delivered stronger earnings through its merger with ACM Shipping which formed Braemar ACM Shipbroking, the UK-based Braemar Shipping Services plc secured new financing arrangements of up to GBP 30 million (USD 43.5 million) with British bank company HSBC for future merger and acquisition activities.
The company’s Shipbroking division performance was driven by a strong tanker markets, while the Total Shipbroking forward order book remained strong at approximately USD 49 million, of which USD 26 million relates to 2016/17.
“The Shipbroking business performed strongly as our diversity of services increased our competitive edge, enabling us to capitalise on a strong tanker market,” James Kidwell, CEO of Braemar, said.
The company added that its revenue from underlying operations was up over 9% to GBP 159.1 million for the full year ended February 29, 2016, compared to GBP 145.6 million recorded in the same period a year earlier.
Braemar Shipping Services’ underlying operating profit saw a 20% increase to GBP 13.8 million, against GBP 11.5 million in the previous year, while the company’s net cash stood at GBP 9.2 million, an increase compared to BGP 7.2 million recorded a year earlier.
The company said that its markets will continue to experience volatility and uncertainty. Chairman of Braemar, David Moorhouse, added that for 2016/17 period the company is expected to remain on a similar activity level overall, with the added potential for both organic and acquisitive growth.