NSCSA announced the Annual Consolidated Financial Results for the year ended 31st December 2011 as follows:
1. Net profit, for the year ended 31st December 2011, of SAR 287.8 million compared to a net profit of SAR 414.9 million for the corresponding 2010, a decrease of 30.6%.
2. Earning per Share from net profit (EPS), for the year ended 31st December, of SAR 0.91 compared to an Earning per Share (EPS) of SAR 1.32 for the corresponding year 2010.
3. Gross profit, for the year ended 31st December 2011, of SAR 339.2 million compared to a gross profit of SAR 557.4 million for the corresponding year 2010, a decrease of 39.1%.
4. Operating profit, for the year ended 31st December 2011, of SAR 229.5 million compared to an operating profit of SAR 453.6 million for the corresponding year 2010, a decrease of 49.4%.
5. The CEO of NSCSA, Mr Saleh Nasser Al-Jasser, traced the decrease of net profit during 2011 compared to 2010 was due to following reason:
Decrease in average Time Charter Equivalent (TCE) rates in Very Large Crude Carrier (VLCC) spot market due to excess capacity of tonnage resulted from the entrance of new VLCCs to the market. In addition, the expiry of three Time Charter contract vessels owned by NSCSA during the year which had a negative effect on the results of crude oil sector. Also, the rising purchase cost of the vessels’ bunker. However, the other sectors had improved in their net income results which reduced the negative effect in the net income of the company compared to last year.
Source: NSCSA (The National Shipping Co. of Saudi Arabia)