Bruce Barnard | Mar 04, 2010 9:29AM EST
Smit Internationale, the Dutch harbor towage, marine salvage and heavy lift shipping company, reported 2009 earnings fell only slightly from the previous year even as the global economic downturn shrunk its revenue.
The Rotterdam-based group booked net profit of $140.3 million compared with $147.7 million in 2008 with all units booking profits.
Revenue was down $145 million at $855 million, and operating profit slipped to $143.3 million from $154.1 million.
Smit, which is being bought by Dutch dredging company Boskalis Westminster for $1.55 billion, said its 2009 results were heavily influenced by the settlement of salvage jobs in previous years -- including a $13.7 million contribution from a contract in the Gulf of Mexico in 2005.
The port terminals unit boosted revenue to $134 million from $97 million and operating profit surged to $24.8 million from $15 million.
The harbor towage unit responded to lower traffic at European and Canadian ports by repositioning tugs to joint ventures in Taiwan, Indonesia, Latvia and Lithuania.
Heavy lift shipping was hit by sharply lower spot rates in the second half of the year, squeezing operating profits to $15.2 million from $26.7 million as revenue declined to $163 million from $214 million.
Marine salvage profit rose to $37.8 million from $22.9 million, boosted by income from previous contracts, offsetting a fall in revenue to $128 million from $160 million.
Smit will continue to operate under its own name and maintain its Rotterdam headquarters after it is taken over by Boskalis.
Contact Bruce Barnard at brucebarnard47@hotmail.com.
