RINA has furloughed more than a third of its 4,000 workers globally amid Covid-19-related uncertainty, despite earning higher profits for last year and in the first quarter of 2020.
The Genoa-based provider of cruiseship classifications and other services saw €3.6m ($4m) in profit for 2019, up from €2.6m a year earlier, thanks to a 7.5% revenue hike to €476m on cruise sector growth.
It also achieved 21% and 8% year-over-year gains in revenue and Ebitda but temporarily reduced its workforce to offset any virus-driven financial losses that may occur.
RINA furloughed about 1,400 workers in Italy and about another 100 in Germany, the UK and Brazil for 22 days between May and August, spokeswoman Victoria Silvestri said.
She said the furloughs were carried out per government regulations.
"To face the economic impact in the best way possible and to safeguard the company's employment levels, furlough has been applied," she told TradeWinds.
RINA took in 60% of revenue for the year from outside Italy and a cruise orderbook of almost €400m. Revenue growth also came from consulting in the industry and energy sectors.
The group is unable to provide full-year guidance for 2020 but is focused on staying in business and protecting employees and clients during the pandemic, chief executive Ugo Salerno said.
"The current economic situation due to the global health emergency is probably the most challenging and demanding of recent years," Salerno said in a statement.
"For now, we are focused on long-term global business continuity and, at the same time, on the safety and well-being of employees and clients".
Resetting the board
RINA shareholders have re-elected the same board of directors to a two-year term.
New company appointments include Nello Sulfaro, former CEO of RINA Services, as general manager of RINA group.
Paolo Moretti, former commercial director of RINA's marine sector, will become chief executive of RINA Services.
Roberto Carpaneto will serve as CEO of RINA Consulting and RINA Group's chief strategy officer.
