Aspo Group successfully executes strategy in challenging environment

Figures from the corresponding period in 2023 are presented in brackets.

January – March 2024

• Net sales from continuing operations decreased to €132.7 (€141.6) million.
• Comparable operating profit from continuing operations was €4.8 (€8.4) million, 3.6% (5.9%) of net sales. The comparable operating profit of ESL Shipping was €2.7 (€6.0) million, Telko €2.2 (€2.7) million, and Leipurin €1.1 (€1.0) million.
• Operating profit from continuing operations was -€3.2 (€8.6) million, -2.4% (6.1%) of net sales. Operating profit of ESL Shipping was -€5.0 (€6.0) million, Telko €2.2 (€2.7) million, and Leipurin €1.1 (€1.2) million.
• Items affecting the comparability of operating profit totalled -€8.0 (€0.5) million at Group total level and were mainly caused by the impairment losses for the supramax vessels.
• Earnings per share from continuing operations were -€0.16 (€0.19).
• Operating cash flow was €5.5 (€12.2) million. Free cash flow was -€3.5 (€9.1) million.
• Gearing improved to 74.0% from 117.6% at the year-end 2023, driven by the minority investment in ESL Shipping.
• Successful strategy execution including the sale of minority stake in ESL Shipping, agreement to sell the supramax vessels and Telko’s expansion to France and Benelux.

Rolf Jansson, CEO of Aspo Group, commented on the 1Q24: "Aspo has successfully pursued its strategical ambitions so far during year 2024. ESL has secured financing capability for its green transition, Telko has made multiple acquisitions, and Leipurin has both invested in growth as well as improved company profitability.

"Aspo’s comparable operating profit from continuing operations was €4.8 million compared to €8.4 million in the corresponding period in the previous year. The profitability development was driven by political strikes in Finland and exceptional ice conditions, impacting negatively ESL Shipping’s profitability with some €3.5 million in the quarter. The negative impact was e.g. due to reduced production volumes of clients, closures of harbours, disturbances in train traffic, longer transportation distances, increased fuel consumption, and overall decline in cargo flow efficiency. Despite the tough conditions, ESL Shipping was able to serve its customers well."

Read the article online at: https://www.drybulkmagazine.com/shipping/07052024/aspo-group-successfully-executes-strategy-in-challenging-environment/