|
Malaysian
Merchant Marine Bhd has recorded an impressive performance during the
financial period ended 31 August 2003.
The company, which transferred its entire share capital from second Board to
the main board of the Kuala Lumpur Stock Exchange last year, has posted 28.7
per cent growth totaling RM104.7 million turnover.
The results, with revenue surpassing the RM100 million mark for the first
time, culminate ten years of continuous improvement said its chairman, Tunku
Datuk Mudzaffar bin Tunku Mustapha.
Time charter has contributed 50 per cent of the group's revenue during the
financial period.
The group has also seen a major improvement from its spot charter income as
its share of revenue grew by 24.31 percentage point to 35.57 per cent during
the financial period.
Spot charter income rose by more than 302 per cent to RM37.26 million during
the financial period ended 31 August as against less than RM10 million in
the previous financial period.
The remaining revenue was contributed by domestic freight income and from
the logistics services.
The group's pre-tax profit rose by 5 per cent to RM10.1 million during the
financial ended August 2003.
Tunku Datuk Mudzaffar said the group will continue to consolidate it niche
in small and medium sized vessel segment by providing impeccable service and
binding strong relationship with customers.
Our focus will remain on shipping as the core business in providing
sustainable future income for the group.
In anticipation of increased demand for shipping services, the group will
continue to expand the fleet size.
MMM fleet size was increased in line with the group's expansion strategy.
Today the group owned 12 carriers with combined dwt in access of 200,000 dwt
The 140,000 dwt capsize bulk carrier, Diana and Ro-ro carrier, Mersey was
brought late in the previous financial year and two more tankers, Islington
and Kingston were acquired during the financial period.
The group has also entered into a memorandum of agreement with Gerwin Marine
Services on October 23, 2003 for the acquisition of a vessel, Ambrosia for
RM52.82 million. The acquisition will be financed by internal funds and a
term loan facility.
These acquisitions will programme towards a younger fleet profile with lower
repairs and maintenance and thereby more reliable services for customers
said Tunku Mudzaffar
Tunku Datuk Mudzaffar said project in the restructuring of finance are on
going in the process to reduce borrowing costs and provide cash flow
stability against liquidity risks.
This will be in the form of issuance of RM120 million Al-Bai' Bithaman Ajil
Serial Bonds Facility.
Tunku Datuk Mudzaffar also said the advent of the Asean Free Trade Agreement
is expected to expand the demand of ro-ro carrier utilization.
A joint venture in the form of an associated company, MMM Siam Shipping
Company Limited in Thailand has been established to foster this potential
and build on combined synergies.
The group owns 49 per cent of the company in July 2003.
The possibilities of similar strategic alliances with potential local and
international partners are actively being explored particularly in the area
of providing shipping services in the lucrative oil and gas industry sector.
In view of that the group has added two tankers namely Islington and Kinston
with during the financial period said Tunku Datuk Mudzaffar. |
