Clarkson PLC (CKN) - Interim Management Statement
RNS Number : 4933Q
07 November 2012
7 November 2012
("Clarksons" or "the Group")
Interim Management Statement
Clarksons, the world's leading shipping services group, today announces its
Interim Management Statement published in accordance with the UK Listing
Authority's Disclosure and Transparency Rules, for the period from 1 July 2012
to 6 November 2012 ("the period").
Shipping markets continue to reflect global economic uncertainty through
reduced freight rates and lower asset prices. Clarksons has consistently
highlighted the demand/supply imbalance and this remains a dominant feature,
as does a lack of available debt amidst general weakness in capital markets.
Our market leading positions underpinned by excellent research, geographical
reach and our dedication to customer service provide some protection in these
difficult trading conditions.
Freight rates have continued to fall during the period which in recent months
has also increased the pressure on asset prices across a number of sectors.
This combined with the additional tightness in the debt market, especially for
second hand tonnage, has caused a fall in volume of sales, value of vessels
and consequently revenue earned. A weakening US dollar against Sterling has
put further pressure on reported revenues. Increased transaction volumes
throughout most of our broking operations have partially mitigated these
issues and the strength of our offer in terms of the international spread of
our operations and our successful teams has enabled us to consolidate and in
most areas build market share. Spot business remains prevalent as it has in
The securities industry in which Clarkson Capital Markets operates remains
extremely difficult in the face of the continuing economic downturn with
transaction activity remaining at very low levels. As highlighted at the half
year, we are continuing to pay close attention to costs and the downsizing of
Dubai is now well advanced.
Our port and agency operations have continued to perform in line with
expectations during the period with last year's acquisitions, EnShip and Opex,
integrating well and proving a valuable addition to the business.
Clarkson Research Services remains an essential source of information to the
maritime and offshore industries and it continues to deliver sound growth on
the back of client demand for both its established and new products.
The short term outlook for rates and values is uncertain, with demand/supply
imbalance a brake on recovery and continued weakness in capital markets. Lower
than anticipated activity in the second half, particularly in broking and
financial, has resulted in a reduction in the Board's expectations for the
full year results. Nevertheless Clarksons remains well placed to cope with
current conditions and gain from recovery when it arrives.
Clarkson PLC 020 7334 0000
Andi Case, Chief executive
Jeff Woyda, Finance director
Hudson Sandler 020 7796 4133
This information is provided by RNS
The company news service from the London Stock Exchange
IMSBFBLTMBMMBIT -0- Nov/07/2012 07:00 GMT
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