Major shipbroker and provider of integrated shipping services Clarkson PLC (Clarksons) says its preliminary results for 2016 reflect “Continued strong performance despite challenging markets”. It says underlying profit before taxation fell from £50.5m to £44.8m, “reflecting significantly lower freight rates and asset values during the year, offset by increased transaction volumes, increased market share and a strong US dollar”. Reported profit before taxation increased from £31.8m to £47.3m.
A “robust balance sheet” included a 64% increase in net funds to £74.8m, up from £45.5m in 2015. The dividend announced increased by 5% to 65p, marking 14 consecutive years of dividend increases.
Clarksons CEO, Andi Case, commented: “Clarksons remains cash generative and highly profitable, allowing us to deliver continued dividend growth for our shareholders despite the challenging shipping markets. A number of indicators suggest that the shipping and offshore markets are beginning to recalibrate and we are well positioned to capitalise on the opportunities this presents in 2017 and beyond.”
