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IN BRIEF: Irish Continental revenue grows as notes higher fuel prices

ALN

Irish Continental Group PLC - Dublin-based ferry operator - Cars volumes fall 2.9% to 135,200 in the period between January 1 and May 2 from 139,200 a year prior. Roll-on-roll-off freight climbs 5.2% to 270,900 units from 257,600. Container freight is down 3.8% to 126,800 twenty-foot equivalent units from 131,800. Terminal lifts rise 2.2% to 125,200 from 122,500.

Revenue in the period was €215.9 million, up 14% from €189.5 million a year ago, with the company noting that increased fuel surcharges and the 100% application of the European Emissions Trading System contributed to revenue growth. Revenue in the Ferries division is up 17% to €138.6 million from €118.8 million, while revenue in the Container & Terminal division grows 8.3% to €87.6 million from €80.9 million.

Irish Continental notes recent geopolitical developments in the Middle East leading to higher fuel prices, noting which ‘can only be negative for everyone living on an island off northwest Europe.’ The firm adds: ‘Apart from the obvious increased cost of getting on and off the Island, there are secondary impacts on inflation, interest rates and the general cost of living. While the Group‘s consistent policy is not to financially hedge fuel prices, we do have a well-established mechanism for applying fuel surcharges on all freight movements on a monthly lagged basis.’

Current stock price: 590.00 pence each, up 4.8% on Thursday afternoon in London

12-month change: up 28%

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