Energy, Good for Business, Latvia, Transport

Latvijas Kugnieciba posted a profit of EUR 2.98 million for the first quarter of 2015.

The shipping company's net voyage result was 20.37 million in the first quarter of this year.

The fleet's operating profit was EUR 14.57 million, growing from EUR 11.7 million a year ago.

The shipping group's management said that there have been no changes in the commercial fleet, which still includes sixteen tankers. In turn, subsidiary LSC Shipmanagement has put huge efforts into increasing amount of activity, which has resulted in the conclusion of new agreements on providing ship technical management services to three third party owned vessels. The company is currently operating a fleet of 23 vessels, which consists of 16 own vessels and seven vessels under its technical management.

The shipping group is has been actively disposing of real properties owned by LASCO Investment, the management said. The sale process of Lejastiezumi property was completed in April, and offers for other properties have been received from potential buyers. At the same time, liquidation and restructuring of Latvijas Kugnieciba companies in Latvian and foreign jurisdictions are ongoing.

In relation to the shipping group's liabilities, negotiations are currently held with banks regarding the refinancing of the existing credit liabilities.

Latvijas Kugnieciba provides shipping services in all seas and oceans of the world, trains and recruits crews, as well as provides technical ship management to its own and ships owned by other companies. Latvijas Kugnieciba is quoted on the Main List of the Nasdaq Riga stock exchange. Its key shareholder is the Latvian holding company Ventspils Nafta.