Estonia, EU – Baltic States, Tourism, Transport

In the third quarter (1 July – 30 September) of the 2014 financial year AS Tallink Grupp and its subsidiaries’ carried nearly 2.6 million passengers which is 5.8% less compared to the same period last year. The number of cargo units transported increased by 1.0% and the number of passenger vehicles transported decreased by 3.7% for the same period as last year.

The group’s consolidated revenue in the third quarter was EUR 262.7 million, being 5.7% or EUR 15.7 million less than a year ago. In the third quarter of the 2014 financial year the group’s gross profit amounted to EUR 69.6 million and EBITDA to EUR 64.0 million being respectively EUR 10.2 million and EUR 8.6 million less compared to the same period last year.

Tallink said that the unstable macro-economic situation in Europe has had a negative impact to the group’s operations. The decline in the passenger volume from the Russian market continuous to be visible, decreasing by 25% in the third quarter, compared to the same period last year.

In the third quarter the Estonia-Finland route showed a slight decline with passenger’s numbers decreasing by 3.3%, cargo units transported increased by 11.5% and the sales numbers remained on the last year’s level. The results were affected by a competitor bringing more capacity to the Tallinn-Helsinki route. The Finland-Sweden route showed a decline with passenger’s numbers decreasing by 5.5%, cargo units transported decreased by 11.0%, the sales numbers decreased by 7.4%. The results were affected by Silja Symphony being out of operations in September. The Latvia-Sweden route showed a decline with passenger’s numbers decreasing by 23.3%, cargo units transported decreased by 42.5%, the sales numbers decreased by 24.5%. The results were affected by Romantika changing to Tallinn-Stockholm route, leaving Isabelle as the only operating vessel on the route.

In the third quarter the charter revenue increased by 58.9% or EUR 5.2 million, this is a result of more vessels being in charter and is expected to have a positive effect to the profitability in the forthcoming quarters. The total number of vessels currently chartered out is six, while last year at the same time four vessels were chartered out.