Singamas has archived item 2016 with a decrease of the economic results



The producer of container intermodal Singamas, that it has ten factories in China of the annual productive ability pairs to about a million teu, has concluded the 2016 with a deterioration of the economic results regarding the exercise anniversary precedence although obvious signs of improvement of the business activity and productive in the second half of the year.

In the 2016 Chinese company it has totaled revenues pairs to 916,4 million dollars, with a decrease of the -18,6% regarding 1,13 billion dollars in 2015. In the single segment of the container, the Cores business of the group, the revenues are piled to 880,6 million dollars (- 19.5%), while the logistic activities operated by Singamas have recorded revenues pairs to 35,8 million dollars (+9.7%). In the 2016 operating result and the economic result clearly of the group they have been both of sign negative and pairs to -49,6 million and -61,9 million dollars respect to an operating profit of 16,6 million dollars and a result clearly of sign negative for -1,3 million dollars in 2015.

Last year the factories of the Singamas have produced to container for a total pairs to 524 thousand teu, with a decrease of the -0,6% on 2015, and the company has sold container for a total pairs to 544 thousand teu (+4.4%).

In the single second half of the year of the 2016 revenues of the group they have been attested to 506,2 million dollars, with an increase of +19.8% on the first half of the year precedence, of which 486,9 million dollars in the segment of container (+20.0%) and 19,3 million dollars in that of logistics (+15.0%). Operating result and result clearly have been both of sign negative for -17,1 million and -23,8 million dollars regarding results of positive sign and pairs respective to 30,5 million and 11,6 million dollars in the first six months of 2015.

After two consecutive semesters of emphasized bending of production (- 50.4% and -33,5%) and of the container sale (- 51.1% and -28,7%), in the second half of the year of the 2016 productive and commercial activity of Singamas it is returned to grow: in fact they are produced container for 300 thousand teu (+57.5% on second half of the year 2015) and sell container for 307 thousand teu (+62.4%). Such resumption could be determined mainly from the introduction of the environmental norms in China that impose to the container producers the varnish use Made up of water: Singamas has confirmed in fact that the tendency of the producers to use such type of varnishes from April 2017 has induced some societies of navigation and chartering of container to carry out beforehand orders to the aim not to incur in a deficiency of offer of container in the course of the period of suspension of the container production. "We - he has specified Singamas - consequently have become one of the beneficiaries and our pocketbook is saturates until March 2017".

Singamas has specified moreover that, in order to carry out the necessary participations so that own production satisfies requirement of the Chinese environmental norms, the company has programmed the suspension of some productive lines in the course of according to trimester of this year for a period of about two months to the aim bringing the necessary modifications to the production. "This period of inactivity, that it will hit also our competitors - has emphasized Singamas - determines a generalized decrease of the production and, potentially, will settle a new balance between supply and demand, with a possible increase of the average price of sale of the container caused from the smaller escorts available".