BOURBON Full Year 2014: Robust performance driven by good cost control in a challenging environment
.
- Adjusted EBITDAR increased 10.9% for the year versus 2013, benefiting from continued strong cost control during the year and its margin, as a percentage of revenues, increased almost 2 full points to 36.1%
- EBIT decreased 54% compared with 2013, reflecting higher bareboat charter costs, less capital gains and provisions made for classification dry dock costs for vessels on bareboat charter
- Net Income, Group share aided by an improved financial profit, reflects a stronger US dollar towards the end of 2014 and a reduced cost of debt versus 2013
- Free cash flow reached €466.1 million, a 5.2% increase over 2013, including vessel sales, enabling the continued reduction in net debt to €1.349 billion, totaling €802 million reduction since June 30, 2013
- Proposed dividend payment of €1.00 per share to shareholders, stable versus 2013
"2014 was highlighted by an improvement in the profitability of the fleet, reflected by the cost reductions that were already well underway", says Christian Lefèvre, Chief Executive Officer of BOURBON. "Cost reduction remains a priority for the upcoming quarters in order for BOURBON to adapt to reduced activity levels."
a) see appendix I for details Consolidated results for the 2nd half and full year 2014 were established for the first time according to the new accounting standards IFRS 10, IFRS 11 and IFRS 12, IAS 27 amended and IAS 28 amended relating to consolidation which became mandatory as of January 1, 2014. Specifically, joint ventures on which BOURBON has joint control are now consolidated using the equity method which replaces the proportionate consolidation method. Comparative figures are restated accordingly.
The adjusted financial information is presented by Activity and by segment based on the internal reporting system and shows internal segment information used by the principal operating decision maker to manage and measure the performance of BOURBON (IFRS 8). The principles of internal reporting do not reflect the application of the new IFRS 10, IFRS 11 and IFRS 12, IAS 27 amended and IAS 28 amended. Consequently, joint ventures are still proportionately consolidated, as in previous years.
