Latvijas Kugnieciba : Revenue of JSC “Latvian Shipping Company” Group for Q1 of 2016 higher than last year

Latvijas kugnieciba
Quarterly report

Revenue of JSC 'Latvian Shipping Company' Group for Q1 of 2016 higher than last year

The total revenue of JSC 'Latvian Shipping Company' and its subsidiaries in Q1 of 2016 was USD 25.16 million, reaching an improved and stable net voyage result of USD 22.80 million in this period.

The company's net profit in Q1 of 2016 reached USD 4.11 million. The fleet operating profit in the reporting period was USD 16.31 million, which is considerably higher than in the same period a year ago when it was USD 13.10 million.

The key financial indicators for LSC Group for Q1 for the last financial years are as follows (USD million):

There have been no changes in the commercial fleet (sixteen tankers), in turn, 'LSC Shipmanagement' Ltd 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 managing a fleet of 23 vessels, which consists of 16 own vessels and 7 vessels under its technical management.

Disposal of real properties owned by SIA 'LASCO Investment' is currently actively implemented, the sale process of 'Lejastiezumi' was completed in April, and offers for other properties have been received from potential buyers. At the same time, liquidation and restructuring of LSC Group companies in Latvian and foreign jurisdictions are ongoing.

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

About JSC 'Latvian Shipping Company'

JSC 'Latvian Shipping Company' (NASDAQ RIGA: LSC1R) is among the biggest vessel owners in the segment of medium and handy size tankers and takes leading positions in terms of the transported amount of petroleum products among similar companies in Northern Europe. The company owns 16 modern vessels employing more than 1300 professional and high-skilled seamen from Latvia. Besides, it is technically serving 7 more vessels, thus managing a fleet of 23 vessels. The average age of the LASCO fleet is 8 years. All of the vessels have received ISM (International Safety Management) certificates.

Further information:

Ketija Strazda, Communications Consultant

JSC 'Latvian Shipping Company'

Telephone: +371-26200580

E-mail: Ketija.Strazda@mccannconsulting.lv

www.lk.lv