Interim Results for the six months ended 30 June 2012
03.09.2012
Globaltrans Investments PLC (the “Company” and together with its consolidated subsidiaries “Globaltrans” or the “Group”), (LSE ticker: GLTR) today announces its financial and operational results[1],[2] for the six months ended 30 June 2012.
Certain financial information which is derived from the management accounts is marked in this announcement with an asterisk {*}. Information (non-GAAP and operational measures) requiring additional explanation or defining is marked with initial capital letters and the explanations or definitions thereto are provided at the end of this announcement.
Highlights
- Successful large-scale business expansion with the Group’s Owned Fleet up 47% (18,670 units) in 2012 year to date[3]:
- About 10,000 new railcars delivered and deployed year to date;
- Acquisition of Ferrotrans (formerly Metalloinvesttrans[4]) completed; integration into Group on track;
- Adjusted Revenue increased 10% year on year to USD 664.7 million* in the first six months of 2012 driven primarily by increases in revenue from operating leasing of rolling stock and Net Revenue from Operation of Rolling Stock;
- Adjusted EBITDA was up 28% year on year to USD 328.6 million* in the first six months of 2012 as revenue increased and costs were contained;
- Profitability improved with Adjusted EBITDA Margin up to 49.4%* in the first six months of 2012 (H1 2011: 42.5%*) supported by substitution of Leased-in Fleet with newly acquired railcars and improved pricing;
- Profit for the period remained stable year on year at USD 159.5 million in the first six months of 2012 (H1 2011: USD 159.3 million) as increased operating profit was offset by increased finance costs, primarily due to increased borrowings to finance the large-scale business expansion;
- Strengthened balance sheet enables the Group to pursue growth opportunities; the Group’s Net Debt (adjusted for proceeds from the follow-on offering in July 2012) to Adjusted EBITDA for the last twelve months amounted to 1.7x[5] as of 30 June 2012;
CEO comment
Sergey Maltsev, CEO of Globaltrans Investment PLC, said:
“Globaltrans has made an impressive start to 2012 converting favourable market momentum and its high quality offering into solid financial results and increased profitability. Our recent significant business expansion, both organically and by acquisition, and the successful integration of these assets, further enhances our credentials as a fast-growing company capable of profitably deploying new capacity. Given the structural changes set to continue in our industry, our plans for growth remain in place, supported by the proceeds from our share offering in July.
Capitalising on the strength of our business model which combines a large modern fleet, excellent execution and resilience, we are well positioned to capture growth opportunities present in the developing Russian freight rail industry”.
Downloads
- 2012 Interim Results Announcement (full version)
- 2012 Interim Results Presentation
- Condensed consolidated interim financial information for the six months ended 30 June 2012
- Selected operational information for the six months ended 30 June 2012
Replay of results conference call
- to listen in English, please click here.
- to listen in Russian, please click here.
[1] The Group’s financial performance in the first six months of 2012 was affected by a 7.0% depreciation of the average exchange rate of the Russian rouble (Functional Currency of the Company, its Cyprus and Russian subsidiaries) against the US dollar compared to the first six months of 2011 (the Group’s financial information presentation currency). The first half 2012 period end exchange rate of the Russian rouble against the US dollar weakened by 1.9% compared to the end of 2011.
[2] The Group’s condensed consolidated interim financial information for the six months ended 30 June 2012 includes results of Ferrotrans (formerly Metalloinvesttrans acquired in May 2012). Ferrotrans’ results have been consolidated from 15 May 2012.
[3] Expansion of Owned Fleet based on delivered and contracted railcars as of August 2012 and the fleet of Ferrotrans acquired in May 2012 compared to the Group’s Owned Fleet as of 31 December 2011.
[4] Metalloinvesttrans was renamed to Ferrotrans in August 2012.
[5] Net Debt as of 30 June 2012 adjusted for USD 400 mln of gross proceeds from follow-on offering undertaken in July 2012; Adjusted EBITDA for the last twelve months ended 30 June 2012.