Grupo TMM, S.A.B. (NYSE: TMM) (BMV: TMM A)
("TMM" or the "Company"), a Mexican intermodal transportation and
logistics company, reported today its financial results for the
third quarter and first nine months of 2010.
MANAGEMENT OVERVIEW José F. Serrano,
chairman and chief executive officer of Grupo TMM, said, "TMM
continues to report improved operating results in the third
quarter, even in this volatile period for our industry. Year over
year, TMM's third-quarter 2010 consolidated revenue, operating
profit and EBITDA improved, demonstrating sustained operational
efficiency and a successful business strategy. Additionally, for
the fourth consecutive quarter, consolidated EBITDA exceeded our
financial expenses, resulting in positive free cash flow, a trend
we expect to continue through year-end and beyond.
"We have capitalized on our efforts to grow a high-quality fleet
and to build a consistent revenue stream, and in the third quarter,
we continued to reap the rewards of our investment in new vessels
made over the past two years. Additionally, our Ports and Terminals
division recorded significant improvements in both 2010 periods
over last year's periods, as cruise ship activity at major Mexican
ports and international trade continued to recover."
Serrano concluded, "Our view of the longer-term industry
fundamentals remains positive, and we continue to be ready to
capitalize on opportunities to build TMM's asset base and enhance
our growth profile. With an eventual recovery of the markets,
continued optimization of the use of our fleet and further
participation in Port-related activities, we continue to see upside
potential in TMM's operating margins and earnings."
THIRD-QUARTER AND FIRST-NINE MONTHS 2010
FINANCIAL AND OPERATING RESULTS Compared to the same periods
of last year, consolidated revenue increased 0.3 percent in the
2010 third quarter and 1.0 percent in the 2010 first nine months.
Revenue in the 2010 periods was negatively impacted by reduced
revenue at the Logistics division.
Consolidated operating profit increased 121.0 percent and 81.1
percent in the 2010 third quarter and 2010 first nine months,
respectively. Higher operating profit in the 2010 periods was
largely due to improvements at the Ports and Terminals division.
Additionally, consolidated operating margin grew to 11.6 percent in
the 2010 first nine months compared to 6.5 percent in the 2009
first nine months.
In the 2010 third quarter, EBITDA increased 38.7 percent to
$22.2 million compared to $16.0 million in the same period of last
year. In the first nine months of 2010, EBITDA increased 39.5
percent to $67.4 million compared to $48.3 million in the same
period of 2009. However, first-nine months 2009 EBITDA included a
$4.4 million profit from the sale of two offshore vessels in the
second quarter of 2009. Without this one-time profit, EBITDA
increased 53.5 percent, or $23.5 million, in the 2010 first nine
months, compared to the same period last year.
At Maritime, third-quarter 2010 revenue grew 3.9 percent
compared to the 2009 third quarter, mainly due to increases at
every segment except for chemical tankers, which had one less
vessel in operation. Maritime's operating profit grew 6.4 percent
in the 2010 third quarter compared to the same period of the
previous year, mainly as a result of a 225.0 percent gross profit
increase at product tankers due to higher average daily rates as
well as a 66.7 percent gross profit increase at chemical tankers
due to more efficient routes and reduced costs.
Maritime revenue in the first nine months of 2010 increased 1.4
percent as a result of improvements at offshore, mainly due to
certain price adjustments and to the addition of a process vessel
in the first quarter, and at the harbor towage segment, due to
higher volumes. In the first nine months of 2010, operating profit
grew 12.3 percent compared to the previous year's first nine
months. In particular, product tankers' gross profit improved 125.9
percent attributable to all vessels working with contracts and to
higher average daily rates in the 2010 second and third quarters
compared to the same periods in 2009. Additionally, gross profit in
the harbor towage segment improved 35.2 percent in the 2010
nine-month period due mainly to increased vessel calls at
Manzanillo.
In the 2010 third-quarter and first-nine months periods, Ports
and Terminals' revenue increased 41.0 percent and 42.6 percent,
respectively, both compared to the same periods last year.
Additionally, operating profit for this division increased from
$0.2 million in the 2009 third quarter to $1.0 million in the 2010
third quarter and from $0.6 million in the 2009 first nine months
to $4.4 million in the 2010 first nine months.
Improved results at the Ports and Terminals division in the 2010
periods compared to last year, were mainly attributable to
increased revenue and profit at Acapulco as a result of higher
cruise ship calls and auto handling volumes; at shipping agencies
due to higher volumes, benefitted by one new cruise line route
among Mexican major ports in the third quarter; and at maintenance
and repair due to continued improvement in the revenue mix and
higher container volumes, specifically at Manzanillo.
Compared to the same periods of last year, Logistics revenue
decreased 15.8 percent and 7.8 percent in the 2010 third quarter
and first nine months, respectively. These decreases were mainly
attributable to lower trucking revenue and to $5.4 million of
reduced revenue as a result of the sale of the minority stake in
the Company's automotive inbound logistics business in April. These
decreases were partially offset by higher revenue at the
warehousing and auto hauling segments.
Logistics operating losses in the 2010 third quarter and 2010
first nine months were lower compared to the same periods of 2009
and included certain book losses.
Financial expenses in the third quarter of 2010 were impacted by
$1.9 million of one-time charges related to the consolidation of
the three tranches of the Company's Trust Certificates Program and
the prepayment of certain dollar denominated debt. Net financial
cost included a net exchange loss of $12.9 million in the third
quarter of 2010 and a net exchange loss of $23.8 million in the
first nine months of 2010.
CONFERENCE CALL TMM's management will host
a conference call and Webcast to review financial and operational
highlights on Friday, October 29 at 11:00 a.m. Eastern time.
To participate in the conference call, please dial (888)
452-4007 (domestic) or (719) 457-2658 (international) at least five
minutes prior to the start of the event. Accompanying visuals and a
simultaneous Webcast of the meeting will be available at:
http://www.visualwebcaster.com/event.asp?id=73118.
A replay of the conference call will be available through
November 29 at 11:59 p.m. Eastern time, by dialing (888) 203-1112
or (719) 457-0820, and entering passcode 5930504. On the Internet a
replay will be available for 30 days at:
http://www.visualwebcaster.com/event.asp?id=73118.
Headquartered in Mexico City, TMM is a Mexican intermodal
transportation and logistics company. Through its branch offices
and network of subsidiary companies, TMM provides a dynamic
combination of ocean and land transportation services. Visit TMM's
Web site at www.grupotmm.com. The site offers Spanish/English
language options.
Included in this press release are certain forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. Such forward-looking statements speak only as
of the date they are made and are based on the beliefs of the
Company's management as well as on assumptions made. Actual results
could differ materially from those included in such forward-looking
statements. Readers are cautioned that all forward-looking
statements involve risks and uncertainty. The following factors
could cause actual results to differ materially from such
forward-looking statements: global, US and Mexican economic and
social conditions; the effect of the North American Free Trade
Agreement on the level of US-Mexico trade; the condition of the
world shipping market; the success of the Company's investment in
new businesses; risks associated with the Company's reorganization
and restructuring; the ability of the Company to reduce corporate
overhead costs; the ability of management to manage growth and
successfully compete in new businesses; and the ability of the
Company to restructure or refinance its indebtedness. These risk
factors and additional information are included in the Company's
reports on Form 6-K and 20-F on file with the United States
Securities and Exchange Commission.
Grupo TMM, S.A.B. and subsidiaries
Balance Sheet*
- millions of dollars -
September December
30,2010 31,2009
------------------------
Current assets:
Cash and cash equivalents 107.308 84.244
----------------------------------------------------------------------------
Accounts receivable
Accounts receivable - Net 55.789 47.553
----------------------------------------------------------------------------
Other accounts receivable 39.630 31.885
----------------------------------------------------------------------------
Prepaid expenses and other current assets 10.574 9.934
----------------------------------------------------------------------------
Total current assets 213.301 173.616
============================================================================
Property, machinery and equipment 833.021 823.831
----------------------------------------------------------------------------
Cumulative Depreciation (169.900) (145.433)
----------------------------------------------------------------------------
Property, machinery and equipment - Net 663.121 678.398
============================================================================
Other assets 44.586 53.250
----------------------------------------------------------------------------
Deferred taxes 96.803 97.274
----------------------------------------------------------------------------
Total assets 1.017.811 1.002.538
----------------------------------------------------------------------------
Current liabilities:
Bank loans and current maturities of long-term
liabilities 21.389 16.043
----------------------------------------------------------------------------
Sale of accounts receivable 9.905 7.869
----------------------------------------------------------------------------
Suppliers 24.134 27.957
----------------------------------------------------------------------------
Other accounts payable and accrued expenses 58.490 44.186
----------------------------------------------------------------------------
Total current liabilities 113.918 96.055
============================================================================
Long-term liabilities:
Bank loans 53.920 70.974
----------------------------------------------------------------------------
Trust certificates debt 754.803 677.520
----------------------------------------------------------------------------
Sale of accounts receivable 2.391 12.047
----------------------------------------------------------------------------
Other long-term liabilities 26.885 26.134
----------------------------------------------------------------------------
Total long-term liabilities 837.999 786.675
============================================================================
Total liabilities 951.917 882.730
----------------------------------------------------------------------------
Stockholders' equity
Common stock 155.177 155.240
----------------------------------------------------------------------------
Retained earnings (68.833) (14.446)
----------------------------------------------------------------------------
Initial accumulated translation loss (17.757) (17.757)
----------------------------------------------------------------------------
Cumulative translation adjusted (10.971) (10.490)
----------------------------------------------------------------------------
57.616 112.547
----------------------------------------------------------------------------
Minority interest 8.278 7.261
----------------------------------------------------------------------------
Total stockholders' equity 65.894 119.808
----------------------------------------------------------------------------
Total liabilities and stockholders' equity 1.017.811 1.002.538
----------------------------------------------------------------------------
*Prepared in accordance with International Financial Reporting
Standards as issued by the International Accounting Standards
Board.
Grupo TMM, S.A.B. and subsidiaries
Statement of Income*
- millions of dollars -
Three months
ended September Nine months ended
30, September 30,
---------------- ------------------
2010 2009 2010 2009
------------------------------------------------------- --------- ---------
Ports and Terminals 5.502 3.876 17.387 12.217
Maritime 51.060 49.171 153.448 151.308
Logistics 18.122 21.550 60.531 65.583
----------------------------------------------------------------------------
Revenue from freight and services 74.684 74.597 231.366 229.108
----------------------------------------------------------------------------
Ports and Terminals (4.115) (3.327) (11.877) (10.416)
Maritime (25.208) (25.953) (77.506) (85.704)
Logistics (19.065) (25.239) (61.576) (73.149)
----------------------------------------------------------------------------
Cost of freight and services (48.388) (54.519) (150.959) (169.269)
----------------------------------------------------------------------------
Ports and Terminals (0.360) (0.374) (1.085) (1.154)
Maritime (10.930) (9.228) (31.988) (26.546)
Logistics (2.308) (2.561) (6.898) (5.650)
Corporate and others (0.216) (0.059) (0.593) (0.157)
----------------------------------------------------------------------------
Depreciation of vessels and equipment (13.814) (12.222) (40.564) (33.507)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Corporate expenses (3.487) (3.976) (10.654) (11.205)
Ports and Terminals 1.027 0.175 4.425 0.647
Maritime 14.922 13.990 43.954 39.058
Logistics (3.251) (6.250) (7.943) (13.216)
Corporate and others (0.216) (0.059) (0.593) (0.157)
Other (expenses) income - Net (0.694) (0.084) (2.351) (0.289)
----------------------------------------------------------------------------
Operating Income 8.301 3.796 26.838 14.838
============================================================================
Financial (expenses) income - Net (21.084) (21.028) (53.286) (67.858)
Exchange gain (loss) - Net (12.879) 17.967 (23.839) (7.434)
----------------------------------------------------------------------------
Net financial cost (33.963) (3.061) (77.125) (75.292)
----------------------------------------------------------------------------
Gain (loss) before taxes (25.662) 0.735 (50.287) (60.454)
============================================================================
Provision for taxes (1.603) (0.245) (3.131) (0.647)
----------------------------------------------------------------------------
Net income (loss) for the period (27.265) 0.490 (53.418) (61.101)
----------------------------------------------------------------------------
Attributable to:
Minority interest 0.082 0.559 1.019 0.581
----------------------------------------------------------------------------
Equity holders of GTMM, S.A.B. (27.347) (0.069) (54.437) (61.682)
----------------------------------------------------------------------------
Weighted average outstanding shares
(millions) 101.995 55.227 102.011 55.227
Income (loss) earnings per share
(dollars / share) (0.27) (0.00) (0.53) (1.12)
Outstanding shares at end of period
(millions) 101.995 55.227 101.995 55.227
Income (loss) earnings per share
(dollars / share) (0.27) (0.00) (0.53) (1.12)
----------------------------------------------------------------------------
*Prepared in accordance with International Financial Reporting
Standards as issued by the International Accounting Standards
Board.
Grupo TMM, S.A.B. and subsidiaries
Statement of Cash Flows*
- millions of dollars -
Three months
ended September Nine months ended
30, September 30,
----------------- -----------------
2010 2009 2010 2009
----------------------------------------------------------------------------
Cash flow from operation activities:
Net income (loss) for the period (27.265) 0.490 (53.418) (61.101)
----------------------------------------------------------------------------
Charges (credits) to income not affecting
resources:
Depreciation & amortization 15.773 13.283 45.969 37.545
----------------------------------------------------------------------------
Other non-cash items 30.651 5.901 73.283 71.036
----------------------------------------------------------------------------
Total non-cash items 46.424 19.184 119.252 108.581
----------------------------------------------------------------------------
Changes in assets & liabilities (10.950) (9.147) (29.156) (22.070)
----------------------------------------------------------------------------
Total adjustments 35.474 10.037 90.096 86.511
----------------------------------------------------------------------------
Net cash provided by operating activities 8.209 10.527 36.678 25.410
============================================================================
Cash flow from investing activities:
Proceeds from sales of assets 0.232 4.383 4.817 11.835
----------------------------------------------------------------------------
Payments for purchases of assets (4.029) (14.794) (14.884) (53.537)
----------------------------------------------------------------------------
Sale of share of subsidiaries 4.062
----------------------------------------------------------------------------
Common stock decrease of subsidiaries (0.202) (0.202)
----------------------------------------------------------------------------
Dividends from non-consolidated
subsidiaries 0.643
----------------------------------------------------------------------------
Net cash used in investment activities (3.797) (10.613) (6.005) (41.261)
============================================================================
Cash flow provided by financing
activities:
Short-term borrowings (net) (6.667) 0.536 (0.939)
----------------------------------------------------------------------------
Sale (repurchase) of accounts
receivable (net) (2.603) (7.222) (7.053) (21.667)
----------------------------------------------------------------------------
Repayment of long-term debt (23.791) (7.300) (54.721) (40.490)
----------------------------------------------------------------------------
Proceeds from issuance of long-term
debt 49.031 8.832 50.591 8.832
----------------------------------------------------------------------------
Acquisition of treasury shares, net (0.013)
----------------------------------------------------------------------------
Net cash provided by (used in) financing
activities 15.970 (5.690) (10.660) (54.264)
============================================================================
Exchange losses on cash 1.770 (2.609) 3.051 1.438
============================================================================
Net (decrease) increase in cash 22.261 (8.385) 23.064 (68.677)
----------------------------------------------------------------------------
Cash at beginning of period 85.047 108.155 84.244 168.447
----------------------------------------------------------------------------
Cash at end of period 107.308 99.770 107.308 99.770
----------------------------------------------------------------------------
*Prepared in accordance with International Financial Reporting
Standards as issued by the International Accounting Standards
Board.
TMM COMPANY CONTACT: Jacinto Marina Deputy CEO
011-525-55-629-8718 Email Contact Monica Azar Investor Relations
011-525-55-629-8703 Email Contact AT DRESNER CORPORATE
SERVICES: Kristine Walczak (investors, analysts, media)
312-726-3600 Email Contact
Grupo Tmm A (NYSE:TMM)
Historical Stock Chart
From Jun 2024 to Jul 2024
Grupo Tmm A (NYSE:TMM)
Historical Stock Chart
From Jul 2023 to Jul 2024
