Chelsea Logistics boosts income to P161 million

MANILA, Philippines — Listed Chelsea Logistics Holdings Corp.(CLC) reported a net profit of P161 million last year, 17.5 percent higher than the previous year.

CLC said its net profit growth was slightly tempered due to an almost 100 percent increase in financing costs attributable to loans availed to purchase new vessels

The company purchased four vessels last year.

In the first quarter of the year, CLC signed a contract with Kegoya Shipyard to construct a brand new RORO passenger ship with an option to order three more units with delivery dates from 2019- 2020.

“We expect the benefits of the acquisitions of these vessels to be reflected in the profitability of the company beginning 2018,” CLC president and ceo Alfonsus Damuy said.

Revenues surged 140 percent to P3.9 billion in 2017, driven by the acquisition of a significant stake in 2Go Group, Inc., and 100 percent ownership of Starlite Ferries Inc. and Worklink Services.

The acquisitions also resulted in additional freight revenues of P1.3 billion, passage revenues of P800 million, and P200 million in revenue from logistics services.

Revenues from tugs assistance services doubled to P263 million. This was attributed to the acquisition of Davao Gulf Marine Services, Inc., which contributed P121 million in total revenues

“As of the end of 2017, CLC captured 33 percent of the route market share and 36 percent of the RoPax market based on gross registered tonnage (GRT),  with its 75 strong fleet.

The company claims to also be the market leader in terms of tanker capacity by GRT with a 14 percent share.

The company has also strengthened its presence in the logistics market, with its significant stake in the the 2Go Group.

At present, CLC reaches 3,300 delivery points in the country. With Worklink Services, CLC is able to serve 59 provinces.