Share Price
[Delayed by 20 minutes]
 

Global Reach

Explore our geographical footprint
View map >

Global Reach
22 Apr 2016

OPERATING RESULTS FOR THE FIRST QUARTER OF 2016

RNS Number : 9923V

PJSC Transcontainer

22 April 2016

 

Public Joint Stock Company "TransContainer" ("TransContainer" or the "Company") (LSE: TRCN) announces its preliminary operating results for the first quarter of 2016. The operating results were mainly affected by the continuing decline in Russian industrial production and consumer demand, by a decrease in the Company's owned and leased Cars for carrying cargo or passengers designated for railway transportation.
rolling stock
, and by the challenging competitive environment. The competitive environment has been made more challenging by operators that are dealing with sea shipping lines' containers that are coming back to the Russian rail network.

In the first quarter of 2016, the Russian Transportation equipment for shipping cargo via various means of transport. Containers are durable enough for repeated use and can be stacked. Containers are divided into medium-duty (three- and five-tonne), which conform to former Soviet Union standards and are still used for shipments in Russia and the CIS, and ISO (20- and 40-foot) containers, which are used for Russian and international shipments. The universal standard unit TEU (twenty-foot equivalent unit) was introduced to measure transport flow volumes.
container
transportation market was down only 0.7% year-on-year compared to a 5.2% year-on-year drop in the fourth quarter of 2015. The market was supported by 8.0% year-on-year growth in domestic transportation, despite an 8.4% decline in international transportation volume. The decline in international transportation was due to a 5.1% decrease in export transportation, a 9.7% decline in Import-bound container traffic, as indicated in the respective waybill.
import transportation
and an 18.2% drop in Freight passing from one country to another through a third country. Whether cargo is permitted to transit a certain country and under what terms is subject to trade agreements and treaties between countries. Direct transit is when foreign goods are shipped under tariff protection, without holding at a customs warehouse; indirect transit is when goods arrive at customs warehouses and are then transported abroad.
transit
.

Container volumes transported by the Company's rolling stock in the first quarter of 2016 decreased by 9.7% year-on-year to 317 thousand twenty-foot equivalent units ("TEU") on the back of a 9.5% year-on-year decline in flatcars under operation following the termination of operating lease agreements in the second half of 2015. The Company's market share therefore decreased to 43.5%, from 45.9% in the fourth quarter of 2015. The decline in the Company's transportation volumes was mainly due to lower domestic transportation and a decrease in volumes on transit routes. However, TransContainer did outperform the market in import transportation volumes.

Transportation of containers by TransContainer's fleet in 1Q 2016 (ISO Loaded + Empty), 000' TEU


1Q 2016

1Q 2015

Change




000' TEU

Percent

Domestic Routes

170.2

182.5

-12.3

-6.7%

Export

82.0

91.4

-9.4

-10.2%

Import

50.4

51.5

-1.1

-2.2%

Transit

14.8

26.1

-11.3

-43.4%

All Routes

317.4

351.5

-34.1

-9.7%

 

The Company's revenue-generating1 container transportation volumes in Russia amounted to 247 thousand TEU in the first quarter of 2016, down 6.4% year-on-year.

In the first quarter of 2016, the Company's throughput in the Russian rail A place equipped for the trans-shipment and storage of containers. A container terminal
typically includes one or more container yards. Rail-based container terminals are equipped with spur tracks for loading and unloading containers to/from railroad platforms (cars).
container terminal
network decreased by 6.8% to 266 thousand TEU, compared to 285 thousand TEU for the same period of 2015.

A specialised type of rolling stock designed to carry ISO containers.
Flatcar
For containers - transporting an empty container on a flatcar, for flatcars – a flatcar run without container(s) or any non-container cargo.
empty run
ratios improved from 8.8% in the first quarter of 2015 to 7.7% in the first quarter of 2016, while container empty runs moderately increased from 28.0% to 29.3%, respectively.  The turnover of flatcars remained broadly flat year-on-year in the first quarter of 2016, while the turnover of containers increased from 37.6 days to 42.5 days mainly due to a resumed inflow of shipping lines' containers to the Russian market and an increase in average distance travelled by the Company's containers across the Russian railway network.

1Transportation of clients' containers and own loaded containers

 


1Q 2016

1Q 2015

Turnover of containers, days

42.5

37.6

Turnover of flatcars, days

15.7

15.1




Empty run2 for containers, %

29.3%

28.0%

Empty run for flatcars, %

7.7%

8.8%

 2The empty run ratio is calculated as an average empty run in kilometers divided by an average total run in kilometers

  

Enquiries:

 

TransContainer


Andrey Zhemchugov,
Director, Capital Markets and Investor Relations

+7 495 637 9178       +7 495 609 6062

E-mail

IR@trcont.ru

Website

www.trcont.ru

Instinctif Partners

 

Galyna Kulachek / Catherine Hems

+44 (0) 20 7457 2020

About TransContainer

TransContainer (LSE ticker: TRCN) is the leading intermodal Transportation equipment for shipping cargo via various means of transport. Containers are durable enough for repeated use and can be stacked. Containers are divided into medium-duty (three- and five-tonne), which conform to former Soviet Union standards and are still used for shipments in Russia and the CIS, and ISO (20- and 40-foot) containers, which are used for Russian and international shipments. The universal standard unit TEU (twenty-foot equivalent unit) was introduced to measure transport flow volumes.
container
transportation company in Russia with a market share of approximately 47%. It is the market leader in Russia by A specialised type of rolling stock designed to carry ISO containers.
flatcar
fleet size, container transportation by rail and rail-side A place equipped for the trans-shipment and storage of containers. A container terminal
typically includes one or more container yards. Rail-based container terminals are equipped with spur tracks for loading and unloading containers to/from railroad platforms (cars).
container terminal
throughput. As at 31 December 2015, it owned and leased 24,461 flatcars and 64,596 ISO containers. TransContainer also owns a network of rail-side container terminals, located at 46 railway stations across Russia and operates one terminal in Slovakia under a long-term lease agreement. The Company's joint venture JSC Kedentransservice ("Kedentransservice", or "KDTS") also operates 19 inland rail-side terminals in Kazakhstan. The Company's sales network comprises about 120 sales outlets in Russia, along with additional outlets across the CIS, Europe and Asia. TransContainer is listed at Moscow Exchange and LSE. Company's major shareholder with 50% +2 shares is United Transportation and The process of organising a chain of delivery, and managing that chain in the broadest sense. This chain may encompass both deliveries of raw materials needed for production and management of material resources at an enterprise, delivery to warehouses and distribution centres, sorting, handling, and final distribution at the points of consumption. In the context of transportation services, the main service is that of delivering cargo across a delivery route.
Logistics
Company, established by Russian Railways, Belorussian Railway and Kazakhstan Temir Zholy.


This information is provided by RNS

The company news service from the London Stock Exchange

END

 

 

To top

2016 Annual Report

PDF-version of our latest Annual Report

Download >