The Icelandic shipping company benefited from higher volumes but encountered headwinds from changes in currency exchange rates.
Eimskip recorded net earnings of 4.6 million euros (U.S. $5.4 million) for the second quarter of 2018, a 6.5 percent decline from last year’s second quarter, according to the Icelandic shipping company’s latest financial statements.
However, revenues for the quarter ticked up 1.1 percent year-over-year to 172.6 million euros.
Although Eimskip benefited from higher volumes during the quarter, the company’s financial growth was set back by changes in currency exchange rates.
Eimskip operates 21 vessels, of which 12 are owned and nine are chartered. Fourteen of the vessels are in scheduled services, three are in spot services, three are in ferry operation and one is used for bulk cargo.
Broken down by segment, volumes rose 2.9 percent year-over-year in the liner segment. Eimskip President and CEO Gylfi Sigfússon said the segment’s volumes increase was driven by 6.3 percent growth in container liner volumes in relation to trans-Atlantic trade, Iceland and the Faroe Islands, despite much fewer car imports to Iceland. The liner segment’s revenues totaled 115.9 million euros, down 1.4 percent from last year’s second quarter.
Meanwhile, the forwarding segment saw volumes for the quarter rise 10.9 percent year-over-year, mainly fueled by 36.6 percent growth in dry cargo, while revenues rose 6.6 percent to 56.8 million euros.
Eimskip’s earnings slip in Q2
