Results for the third quarter 2016

Wilh. Wilhelmsen Holding (WWH) reported a decrease in total income and operating profit compared with the previous quarter. During the quarter, the group made significant steps towards restructuring its shipping, logistics and maritime services activities.
Press release, Published: (Wilh. Wilhelmsen Holding ASA)

WWH delivered a total income of USD 656 million, while the operating profit ended at USD 62 million in the third quarter. Total income and operating profit were down from previous quarter, 8% and 19%, respectively.

“A drop in shipped volumes was mainly caused by seasonality and strikes in Korea, which impacted shipping revenues, while the logistics performance was stable,” says Thomas Wilhelmsen, group CEO at WWH.

On 5 September, Wilhelmsen signed a letter of intent with Rederi AB Soya and Wallenius Lines AB to establish a new ownership structure for their jointly owned investments. Upon completion, the plan is for WWH to own approximately 40% of the new entity, to be named Wallenius Wilhelmsen Logistics ASA and based on the existing listing of Wilh. Wilhelmsen ASA.

“Changing market dynamics and pressure on margins enforce a fundamental change in how we manage our joint ventures, especially within the shipping segment,” says Wilhelmsen. For the maritime services segment, operating income was down 4%, while operating margin and profit improved. The main factor behind the improvement was reduced expenses related to ongoing sales transactions and restructuring processes. The sale of Callenberg Technology Group to Trident Maritime Systems was finalised in the fourth quarter.

Commenting on the restructuring, Mr. Wilhelmsen says: “We are pleased that the sale of Callenberg has been successfully completed. Now we focus on completing the larger safety transaction with the Survitec Group and continue to develop and grow the remaining portfolio within maritime services.” Net result in the holding and investment segment was down from previous quarter, mainly as a result from reduced contribution from the Treasure ASA shareholding in Hyundai Glovis.

The board decided a second dividend of NOK 2.00 per share to be paid 28 November. Summing up prospects, the board expects the general business environment to remain soft, impacting most group activities and performance.

For further information, contact
Thomas Wilhelmsen, group CEO   
tel: +47 67 58 40 00

Christian Berg, group CFO              
tel: +47 917 46 910

Åge S Holm, IRO    
tel: +47 900 87 670 

Benedicte Teigen Gude, GVP corporate communications
tel: +47 959 07 951

 About Wilh. Wilhelmsen Holding ASA Wilh. Wilhelmsen Holding ASA is a global maritime industry group focusing on shipping and integrated logistics services for cars and rolling cargo through its shareholding in Wilh. Wilhelmsen ASA. The group occupies a leading position in the global maritime service industry through Wilhelmsen Maritime Services AS, delivering products and services to some 200 shipyards and 24 000 vessels annually. Through Wilh. Wilhelmsen Holding Invest AS the group aims at exploring and developing new opportunities within the energy-, offshore- and maritime industry. For more information, visit www.wilhelmsen.com

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