Clarkson enjoys record profit as Iran war hikes demand for shipping expertise Proactive uses images sourced from Shutterstock
Clarkson PLC (LSE:CKN) posted strong interim profits and expects full-year results to come in “materially ahead” of market forecasts after disruption in the Strait of Hormuz helped the shipping services group deliver record first-half profits.
Underlying pre-tax profit jumped 56% to £61.5 million in the six months to 30 June, from £39.4 million a year earlier. Revenue rose 39% to £413.5 million, while underlying basic earnings per share increased to 147.6p from 98.6p.
Reported pre-tax profit climbed to £55.6 million from £37.5 million.
Clarkson said strong underlying trading was amplified by turbulence in the Strait of Hormuz, as conflict disrupted global trade and increased demand for its shipbroking, market intelligence and advisory services.
The group did not expect its performance to be weighted towards the second half, as would usually be the case. Free cash resources stood at £154.6 million, down from £206.2 million a year earlier.
Chief executive Andi Case says the results reflect “record first half performance, reflecting both the investment into our underlying business and the exceptional volatility caused by the disruption to global trade from global conflict including the situation in the Strait of Hormuz”.
Clarkson raised its interim dividend by 6% to 35p a share, marking its 24th consecutive year of dividend increases.
During the period, the group completed the acquisitions of Link Group, Zuma Labs and Serpac International, expanding its commodities offering, technology capabilities and geographic reach