Moby 2018 year-end results: 62.7 million Euro in the red
Figures were particularly hurt by high bunker cost and by the lack of profit on ships sales
Moby group's 2018 year-end figures significantly dropped versus former 12 months, particularly due to bunker cost increase and to missing ships sales profit.
Last year's revenue essentially recorded stable figures (-0.3%), from 586.2 to 584.3 million Euro, Ebitda dropped from 131.6 to 47.5 millions, 68.2 millions operating margin recorded in 2017 turned into negative 17.6 millions attained in 2018, while final results at December 31st 2018 showed 62.7 millions in the red versus former positive 22.9 millions.
Financial covenants negotiated with banks were not complied with and Vincenzo Onorato was forced to renegotiate them.
Furthermore, year 2017 was particularly supported by 21.3 million Euro profit yielded from the sale of the Dimonios and Puglia, while 2018 was substantially hurt by high bunker cost which increased the Blue Whale's bill by 30.9 million Euro.
Ferry business recorded stable figures, while freight transport revenues grew by 3.5 million Euro (24%) and on board sales soared by 2.1 million Euro (+8.8%).
“Year 2018 cargo business increased by half a million linear metres, as recorder the year before, however the substantial increase in cost, particularly affected by bunker, and operational cost, together with the launching of new lines and start-ups (which produced substantial results) unavoidably hurt companies' cost”, commented Achille Onorato, Moby's Managing Director, adding that 2018 wasn't particularly easy, moreover they landed in new business segments and allocated substantial investments encompassed in a rewarding long-term strategy which we confide will show preliminary results in 1Q 2019.
No news about the investigation started by the European Commission on assumed State-subsidies received by ex Tirrenia before 2012, while waiting the result of the proceeding Moby failed to pay Tirrenia under receivership the first 55 million instalment (2016) for Tirrenia CIN's takeover and won't even pay the second instalment expired on April 30th 2019.
The first hearing in the proceeding started by Tirrenia's commissioners was set at Milan Tribunal in mid May to ask for Moby's movable and immovable properties precautionary seizure as guarantee.
Regarding the pending verdict by which the Antitrust Authority issued 29 million Euro sanction for the abuse of dominant position on Sardinia routes, the blue whale announced that Lazio TAR will evaluate their complaints.
They also confirmed having sealed 8-years sub-charter contract with Tirrenia (Onorato Armatori via Moby) for ro-ro Maria Grazia Onorato (2.42 million Euro, second instalment) and the foundation of Livorno Terminal Srl newco for taking over 66% shares in Porto Livorno 2000 (10.75 million Euro).