Oslo-listed shipping conglomerate Wilh Wilhelmsen Holding has boosted earnings on the back of a big takeover deal and continuing cash flows from car carrier investments.
The Norwegian ship management and maritime services group said net profit in the second quarter jumped to $168m from $153m in the same period of 2023.
Revenue was $301m, up 16% from a year ago.
The Maritime Services division logged revenue of $220m, up 19% year on year.
This was boosted by the takeover of Germany’s Zeaborn Ship Management with MPC Capital, which was completed on 31 March, adding $26m in revenue.
Technical management is arranged through the established Wilhelmsen and MPC joint ventures, while crew management is handled by Wilhelmsen.
Overall ship management revenue was $49m, up $22m.
The division has 5,300 employees, 11,300 seafarers and manages about 450 vessels.
The company, which is led by chief executive Thomas Wilhelmsen, also owns nearly 38% of car carrier giant Wallenius Wilhelmsen, which counts 126 vessels in its fleet.
This investment added $118m in earnings, while the 11% stake in South Korean shipowner Hyundai Glovis contributed $24m.
‘Strong quarter’
The group is a significant shareholder in offshore vessel owner Edda Wind, with John Fredriksen and Idan Ofer, increasing its stake from 24.4% to 31%.
It booked no profit from Edda Wind in the period.
“We remain committed to our energy infrastructure ambitions and increased our ownership stake in Edda Wind in the second quarter,” Thomas Wilhelmsen said.
“Contributions from associates improved, especially from our key strategic investment in Wallenius Wilhelmsen. It is pleasing to see that we continue 2024 with another strong quarter,” he said.
Wilh Wilhelmsen owns 50% of autonomous shipping company Massterly and 19% of Norwegian offshore support shipowner Reach Subsea.
The New Energy unit brought in $80m of revenue, a rise of 9% as offshore wind logistics subsidiary NorSea improved its result.
Looking ahead, Thomas Wilhelmsen said: “While uncertainty persists, specifically regarding inflationary pressure and geopolitical tension, we retain a strong balance sheet, and will continue to develop companies within maritime services, shipping, logistics, renewables, and related infrastructure, all while delivering consistent yearly dividends.”
Cash and cash equivalents were $177m at 30 June, down $10m from the previous quarter.
Total interest-bearing debt including lease liabilities was $537m, down $41m.
