More than a shipping company
Although many still think of Wilhelmsen as a shipping company, more than 50% of our underlying operating profit came from maritime services and our logistics offering in 2015. Wilhelmsen is much more than a shipping company.

In 2015, a continued slowdown in world economy and trade contributed to a 10% decline in our top line. Our response to the markets has been focus on cost cutting and efficiency initiatives, which lifted our underlying operating profit by 21%.

Although 2015 was characterised by headwind and challenges, our activity level was high. We handled more than 75 000 port calls, 220 000 product deliveries and transported 74 million cubic metres of cargo.

'What if? We are preparing for future change, tomorrow's challenges and opportunities'
Thomas Wilhelmsen, CEO

Tomorrow's challenges
Buzz words like disruptive technology and innovation are more popular than ever. Like them or not, we understand that a company fostering innovation will shape the industry and staying ahead. We therefore continuously ask ourselves questions starting with 'what if …'.
Are unmanned vessels the future? Or unmanned terminals? Will customers require self-service and less traditional customer centres? Will 3D printing reduce the need for ocean transportation? What if vessels only run on renewable energy?

We might not have the answers to these and other questions, but we think about how these and other changes might challenge our current business models and equally important create new opportunities for us.

Our recipe for success
Core elements in our long-term strategy are firm. We will achieve the right results, the right way. High ethical standards are not something we turn on and off at will, they are permanent and just how we do business.
Our commitment when investing in new business and developing our existing portfolio is long-term and industrial. We have delivered underlying positive results and earnings for more than 20 years. Despite a challenging market, our average return on capital employed has been 9% the past five years.

In addition, our diversified portfolio make us less vulnerable than many in our industry. We will continue to develop our portfolio to ensure we have a solid platform for profitable growth in the years to come.

We have 48 000 hands on deck. We would be nothing without our dedicated employees. Their knowledge of the industry, how our products and services can improve and make our customers' operations more efficient combined with sound knowledge of regulatory requirements, give us a unique position to deliver high quality services.

Our best bet for 2016
A bet on Wilhelmsen is a bet on the development of the world economy, commodity prices and world trade. There are clouds on the horizon for 2016. The markets in which we operate continue to be challenging. However, there is currently nothing indicating that world trade and the need for seaborne transportation will be less in the near future.

Our last acquisition before the turn of the year, of the rope provider Timm, reinforced our position as a global player within marine products. We started 2016 by investing more in logistics in both South Africa and the US. In February, we announced a restructuring leading to the listing of a new entity hopefully by the end of the second quarter.

I believe we will see major restructuring and consolidation within the maritime industry in the years to come given the challenges our industry have been faced with the past years. We are positioned to grow organically and through mergers and acquisitions. We are looking for new opportunities. We have a strong balance sheet. Our liquid funds combined with listed entities give us the financial flexibility to act on opportunities.

It all boils down to finding the perfect match, building on our core competencies and global network, to continue to create long-term value.

Wilh. Wilhelmsen Holding ASA issued this content on 11 April 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 11 April 2016 14:26:31 UTC

Original Document: http://www.wilhelmsen.com/about/press/newsandpress/Pages/ThomasWilhelmsen-perspective.aspx