CSAV achieves pre-tax net income of US$135.6 million in the second quarter
Net income after taxes was US$28.8 million, after deducting the tax expense for the quarter, explained by a distribution of dividends.
Santiago, Monday, August 19, 2024 | Compañía Sud Americana de Vapores (CSAV) reported net income of US$28.8 million for the first half of 2024. Net income before taxes of US$135.6 million was impacted by US$106.9 million in taxes related to dividends from Germany.
In the first half of the year, Hapag-Lloyd’s net income of US$230.2 million was negatively affected by US$337.4 million in taxes to give a year-to-date loss of US$130.3 million. This tax expense is related to the over US$1.14 billion in dividends paid in May 2024.
“Operationally, the second quarter shows a clear improvement over the first quarter and we expect the next quarter to continue to evolve positively, mainly explained by the shortage of ships generated by the Red Sea security crisis,” commented Oscar Hasbún, CEO of CSAV.
Hapag-Lloyd
Hapag-Lloyd, the shipping line in which CSAV has a 30% stake, reported EBITDA of US$1.969 billion and EBIT of US$879 million for the first half of 2024, while net income reached US$791 million.
The German shipping company also maintained its projections for 2024, updated on July 9th, with EBITDA of US$3.5 to US$4.6 billion and EBIT of US$1.3 to US$2.4 billion. Given the volatile freight rates and increased geopolitical challenges, this forecast contains a high degree of uncertainty.
Highlights for the Period
In May, Vapores paid its shareholders dividends of Ch$20.17 per share, equivalent to approximately US$1.14 billion.
Recently, Feller Rate upgraded the company’s solvency and bond ratings from “BBB+” to “A-” because of Hapag-Lloyd’s positive evolution, the large dividends distributed in the last three years and the full prepayment of CSAV’s financial debt.