Irish Continental Group says that group revenue for the nine months to the end of September fell marginally from €269.2m to €265.5m as it warned that the overall economic environment remains challenging.
In an interim management statement, the ferry group said that its operating profit fell to €37.5m from €44.6m, although it said that this came on the back of a 60% higher fuel bill.
In the year to October, passenger numbers fell by 5.5% to 1,318,000 while car numbers are down 6.4% at 335,000. RoRo freight volumes are also down 6.6% on last year's record performance. However, container freight volumes are 1.8% higher than the same time last year.
On a brighter note, ICG said that fuel prices have eased considerably. It said the current price for heavy fuel oil is between €225-250 per tonne, compared with an average of €384 per tonne in the first nine months of the year. 'This is providing a counterbalance to the weaker demand environment,' the company said.
The group said that the overall economic environment remains challenging and it has cut some of its fast ferry services in an effort to save on fuel and other costs.
It said that it has recognised the need in its container and terminal division, under current market conditions, to optimise capacity and to exploit the economies of scale offered by larger vessels.
'These measures, combined with a lower level of fuel costs, will help to offset the effects of reduced demand in the marketplace. Furthermore, our strong balance sheet and low cost base ensures that we can continue to compete in this demanding environment,' the statement added.
ICG shares closed at €15.50 in Dublin this afternoon - losing earlier gains and ending unchanged on Friday's close.
