Revenue Growth
Tallinna Sadam's financial performance for the second quarter of 2024 reflects notable growth and strategic success. The company's revenue for this period reached 32 million euros, representing a 10% increase over the previous year. This growth was driven by enhanced revenues from the icebreaker MSV Botnica and ferry services, despite a decline in passenger and cargo harbour segments.
Revenue for the first half of the year was 60 million euros, up by 4.2% from last year. The early start of MSV Botnica's summer charter contributed significantly, adding 2.6 million euros, a 45.8% increase. However, vessel dues revenue saw a decline due to fewer ferry, cruise, and cargo vessel calls.
Profitability and Efficiency
The company's profit for the second quarter stood at 4 million euros, a remarkable 200% increase compared to Q2 2023. Tallinna Sadam also managed to boost its six-month profit by 32% to 9.3 million euros. This improvement reflects effective cost management and increased efficiency, as evidenced by a 27% rise in adjusted EBITDA for the quarter.
Strategic Investments
Investments played a crucial role, with the company investing 7 million euros in Q2 and 25 million euros in the first half of 2024. These investments focused on infrastructure developments, including a new quay for offshore wind farms and ferry upgrades, demonstrating a commitment to long-term growth.
Operational Highlights
Chairman Valdo Kalm highlighted that the increase in passenger numbers and stabilizing cargo volumes were critical to this success. The company also secured significant contracts, including a ferry services tender for 2026-2033 and a charter contract for the icebreaker Botnica until 2028.
Financial Position
As of June 30, 2024, Tallinna Sadam's total assets were 618 million euros, with equity amounting to 367.8 million euros. The company maintained a healthy financial structure, with interest-bearing debt at 190 million euros.
Outlook and Future Prospects
Looking ahead, Tallinna Sadam aims to continue its focus on operational efficiency and strategic investments. The positive judgment in legal disputes and the signing of a new loan agreement with Swedbank further strengthens its financial position for future growth.
