Clarkson posted record numbers for 2023 despite a ‘year of disruption in the maritime markets’.
The world’s largest shipping services provider told investors on Monday that underlying profit before taxation was up 8.2 per cent year-on-year to £109.2million.
The London-listed firm also reported that revenue had risen to £639.4million, up from £603.8million, the previous year.
The world’s largest shipping services provider told investors on Monday that underlying profit before taxation was up 8.2 per cent year-on-year to £109.2million
Andi Case, chief executive officer, of Clarkson, said: ‘2023 was a year of disruption in the maritime markets and I am enormously proud we have achieved another record year.
‘The business today is a reflection of two decades’ investment in our strategy, and we are confident in our outstanding team, our breadth of market-leading services, our technologies and our geographic reach to meet the growing needs of our clients in a world which is ever more complex.’
More ships are being chartered as transport companies attempt to avoid the Red Sea, where attacks on boats from Houthi rebels in Yemen have increased.
Shipping firms have had to arrange longer voyages to avoid using the Suez Canal, where tensions have flared following the war between Israel and Hamas.
The alternative shipping route around South Africa’s Cape of Good Hope can add 10-14 days to a journey compared to passage via the Red Sea and Suez Canal.
Andy Murphy, director of content & industrials at Edison Group, said: ‘While the results highlight positive financial metrics and a strong balance sheet, it’s essential to note the CEO’s acknowledgment of disruptions in maritime markets, including supply chain challenges and environmental concerns.
‘These challenges, particularly in shipbuilding capacity and financing, may impact future growth prospects and investment decisions.
‘Additionally, the mention of a more challenging year for the financial division indicates potential areas of concern amidst overall positive performance.
‘Investors should remain vigilant and monitor how the company addresses ongoing market disruptions and capitalises on emerging opportunities, especially in the context of the green transition and shifting trade patterns.’
Last March, the shipping giant revealed its pre-tax profits jumped by £40million to £100.1million in 2022, thanks mainly to a strong result from its broking division.
Since Covid-related restrictions started being loosened across the globe, freight rates soared amid major port congestion caused by a surging demand for goods and a shortage of vessels.
Clarkson shares were up 2.72 per cent to 3,775p in Monday morning trading
DIY INVESTING PLATFORMS
Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.
