FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of July 2005
A/S STEAMSHIP COMPANY TORM
(Translation of registrant's name into English)
Tuborg Havnevej 18
DK-2900 Hellerup
Denmark
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F [X] Form 40-F [_]
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes [_] No [X]
INFORMATION CONTAINED IN THIS FORM 6-K REPORT
Set forth herein as Exhibit 1 is a copy of Announcement No. 13 - 2004
issued by A/S STEAMSHIP COMPANY TORM to The Copenhagen Stock Exchange on
November 11, 2004, portions of which were inadvertently omitted from the Report
on Form 6-K submitted on November 15, 2004.
Exhibit 1
ANNOUNCEMENT NO. 13 - 2004
TORM - Third quarter 2004 report
11 November 2004
Profit for the first nine months of 2004 of DKK 1,760 mill. before tax -
expectations increased to minimum DKK 1,150 mill. before tax and value
adjustments.
o Net profit in the third quarter 2004 was DKK 260 mill., and DKK 827 mill.
for the first nine months of 2004 excluding value adjustments on the Norden
shares. The result is considered to be highly satisfactory.
o Net profit for the first nine months of 2004 was DKK 1,760 mill. including
value adjustments on the Norden shares of DKK 933 mill. and dividends
received of DKK 73 mill.
o Cash flow from operating activities was DKK 957 mill. in the first nine
months of 2004.
o Return on invested capital was 30.9% p.a. and return on equity was 73.2%
p.a. in the first nine months of 2004. Earnings per share (EPS) was DKK
50.6 against DKK 13.5 for the same period last year.
o Shareholders equity was DKK 3,948 mill. as of 30 September 2004.
o Freight rates for the Company's product tankers have increased considerably
in the fourth quarter due to extraordinarily strong demand, as a
consequence of the strong increase in oil consumption. As a consequence, we
expect a strong start to 2005.
o Expectations of full year 2004 profits before tax and value adjustments are
increased to minimum DKK 1,150 mill. The value adjustment as of 10 November
2004 was DKK 987 mill.
A telephone conference and webcast (www.torm.com), reviewing the report for the
first nine months of 2004, will take place on 11 November 2004, at 17.00
Copenhagen time. To participate, please call 10 minutes before the call starts
on tel.: +45 32 71 46 11 (from Europe) or +1 334 420 4950 (from USA).
A/S Dampskibsselskabet TORM
Contact persons: Klaus Kjaerulff, CEO (tel.: +45 39 17 92 00)
Klaus Nyborg, CFO (tel.: +45 39 17 92 00)
KEY FIGURES FOR THE GROUP
DKK mill. Change
Q1-Q3 Q1-Q3 Q1-Q3 Full year
2004 2003 2003-04 2003
---- ---- ------- ----
INCOME STATEMENT
Net revenue 1,855 1,458 27% 1,928
Time Charter equivalent earnings 1,488 966 54% 1,307
Gross profit 1,024 479 114% 647
Profit before depreciation 963 413 133% 572
Profit before financial items 806 284 184% 395
Net gain/(loss) from other investments and securities 935 197 375% 682
Other financial items 19 -13 -246% -25
Profit/(loss) before tax 1,760 468 276% 1,052
Net profit after tax for the period 1,760 468 276% 1,051
BALANCE SHEET
Total assets 6,672 4,405 51% 4,894
Shareholders' equity 3,948 1,956 102% 2,464
Liabilities 2,724 2,449 11% 2,430
Invested capital 3,761 3,083 22% 3,186
Net interest bearing debt 1,726 1,616 7% 1,698
CASH FLOW
From operating activities 957 387 147% 494
From investing activities -713 -676 5% -1,008
thereof investment in tangible fixed assets -713 -790 -10% -1,122
From financing activities 27 298 -91% 471
----- ----- ----- -----
Net cash flow 271 9 2911% -43
KEY FIGURES
Gross margin 55.2% 32.9% 33.6%
Profit before depreciation/Net revenue 51.9% 28.3% 29.7%
Profit before financial items/Net revenue 43.5% 19.5% 20.5%
RoE (p.a.) 73.2% 34.9% 51.4%
RoIC (p.a.) 30.9% 12.8% 13.1%
Equity ratio 59.2% 44.4% 50.3%
Share price, end of period (DKK)* 169.3 64.8 161% 90.3
Millions of shares, end of period* 36.4 36.4 0% 36.4
Earnings per share (DKK)* 50.6 13.5 274% 30.3
Exchange rate USD/DKK, end of period 6.00 6.37 -6% 5.96
Exchange rate USD/DKK, average 6.07 6.69 -9% 6.59
* The comparative figures are restated to reflect the issue of bonus shares in
May 2004.
Segment information
DKK mill.
Q1-Q3 2004 Q3 2004
Tanker Bulk Tanker Bulk
division division Unallocated Total division division Unallocated Total
-------- -------- ----------- ----- -------- -------- ----------- -----
Net revenue 1,060 795 0 1,855 369 270 0 639
Port expenses and bunkers -280 -87 0 -367 -107 -34 0 -141
--------------------------------------------------------------------------------------------
Time charter equivalent earnings 780 708 0 1,488 262 236 0 498
Charter hire -62 -189 0 -251 -22 -59 0 -81
Operating expenses -165 -53 5 -213 -57 -21 5 -73
--------------------------------------------------------------------------------------------
Gross Profit 553 466 5 1,024 183 156 5 344
Profit on sale of vessels and
interest 0 0 0 0 0 0 0 0
Administrative expenses -83 -26 -2 -111 -31 -9 -1 -41
Other Operating income 49 1 0 50 18 1 0 19
--------------------------------------------------------------------------------------------
Profit before depreciation 519 441 3 963 170 148 4 322
Depreciation -129 -28 0 -157 -45 -11 0 -56
--------------------------------------------------------------------------------------------
Profit before financial items 390 413 3 806 125 137 4 266
Net gain/(loss) form other
investments and securities 0 0 935 935 0 0 384 384
Other financial items -47 -8 74 19 -10 1 0 -9
--------------------------------------------------------------------------------------------
Profit/(Loss) before tax 343 405 1,012 1,760 115 138 388 641
Tax 0 0 0 0 0 0 0 0
--------------------------------------------------------------------------------------------
Net profit for the period 343 405 1,012 1,760 115 138 388 641
TANKER DIVISION
The Tanker division achieved a net profit for the first nine months of 2004 of
DKK 343 mill.
The market for TORM's product tankers was at a very high level throughout the
period. Normally, seasonal factors cause a slowdown in the market during the
summer months in the second and third quarters, but aside from a short-lived
weakening during the start of the second quarter, all of 2004 has been marked by
very high freight rates that were higher than originally expected.
The growth in the world economy and very low inventories of refined oil products
due to the high oil prices and limited growth in refinery capacity in the
western world led to strong demand for transportation of refined oil products,
which was the reason for the increased rate levels.
Earnings data for the Tanker division
2003 2004 2004 2004 Change
q3 q1 q2 q3 q3-q3
------ ------ ------- ------- --------
LR2/Aframax vessels
Available earning days 272 455 450 460 69%
TCE per earning days (USD)*) 32,804 32,012 27,896 28,389 -13%
OPEX per earning days (USD)**) -5,816 -4,453 -4,898 -4,148 -29%
Gross profit per earning day (USD)***) 18,479 21,697 17,061 18,212 -1%
------------------------------------------------------------------------------------
LR1/Panamax vessels
Available earning days 194 288 319 406 109%
TCE per earning days (USD)*) 26,507 28,270 23,028 22,998 -13%
OPEX per earning days (USD)**) -7,070 -6,141 -5,267 -5,742 -19%
Gross profit per earning day (USD)***) 19,436 22,130 17,761 17,256 -11%
------------------------------------------------------------------------------------
MR vessels
Available earning days 1,000 1,047 1,067 1,054 5%
TCE per earning days (USD)*) 19,369 21,491 20,288 19,890 3%
OPEX per earning days (USD)**) -4,575 -5,927 -5,367 -5,581 22%
Gross profit per earning day (USD)***) 14,794 15,565 14,920 14,308 -3%
------------------------------------------------------------------------------------
*) TCE = Time Charter Equivalent Earnings = Gross freight income less bunker,
commissions and port expenses
**) Operating expenses for own vessels.
***) TCE earnings less operating expenses and charter hire.
TORM's Tanker division achieved freight rates during the third quarter 2004
which when compared to the third quarter 2003, were 13% lower for both the LR2
and LR1 segments and 3% higher for the MR segment. Thus, the freight rates
continued at the same level as in the second quarter 2004 - which was
unseasonally high.
The number of earning days in the LR2 segment increased during the period from
third quarter 2003 to third quarter 2004 by 69% due to the delivery of two
newbuildings towards the end of 2003. The number of earning days in the LR1
segment also increased (by 109%) due to the delivery of two newbuildings and
lower docking activity in the third quarter 2004. In the MR segment the number
of earning days increased by 5% compared to third quarter 2003, which was due to
the delivery of TORM Alice in February 2004, but offset by higher docking
activity.
BULK DIVISION
The Bulk division achieved a net profit of DKK 405 mill. in the first nine
months of 2004.
Rates in the bulk market have been very volatile during the first nine months of
2004. After a period with very high freight rates, the market dropped
significantly in the second quarter 2004, followed by healthy increases in the
third quarter 2004. The development in the bulk market freight rates has been
affected by economic developments in China, where the slowdown in the Chinese
economy, combined with significant inventory build-up in the first quarter, led
to a decrease in imports, thereby affecting freight rates in the second quarter.
TORM believes that China after a period of reducing inventories of a number of
commodities, especially iron ore, yet again increased the import of these goods
in the third quarter, which is the background for increasing freight rates.
Furthermore, the higher activity level has led to more waiting days for loading
and unloading in many ports. This reduces the capacity and increases pressure on
the bulk market freight rates.
Earnings data for the Bulk division
2003 2004 2004 2004 Change
q3 q1 q2 q3 q3-q3
------ ------ ------- ------- --------
Panamax vessels
Available earning days 1,375 1,383 1,352 1,438 5%
TCE per earning days (USD)*) 12,965 23,219 26,501 25,562 97%
OPEX per earning days (USD)**) -5,496 -5,501 -5,810 -4,818 -12%
Gross profit per earning day (USD)***) 6,070 14,327 17,523 16,876 178%
-------------------------------------------------------------------------
Handysize vessels
Available earning days 276 303 302 237 -14%
TCE per earning days (USD)*) 8,419 15,963 16,320 14,806 76%
OPEX per earning days (USD)**) -2,811 -3,112 -3,302 -3,556 27%
Gross profit per earning day (USD)***) 3,455 11,187 11,082 10.340 199%
-------------------------------------------------------------------------
*) TCE = Time Charter Equivalent Earnings = Gross freight income less bunker,
commissions and port expenses
**) Operating expenses for own vessels.
***) TCE earnings less operating expenses and charter hire.
Compared to the same period last year, freight rates achieved in TORM's Bulk
division in the third quarter 2004 were 97% and 76% higher for TORM's Panamax
and Handysize vessels, respectively.
The number of available earning days for TORM's Panamax vessels was 5% higher
due to a slightly higher number of chartered in vessels, while the number of
available earning days for Handysize decreased by 14% due to re-delivery of
chartered in tonnage.
UNALLOCATED
Unallocated activities primarily consist of the unrealised value adjustment of
DKK 933 mill. on TORM's shareholding in Norden and dividend received from Norden
of DKK 73 mill. In addition to this, TORM received a dividend of DKK 127 mill.
from Norden in the fourth quarter 2004.
NINE MONTH 2004 RESULTS
Net Profit for the first nine months of 2004 was DKK 1,760 mill. including value
adjustment of DKK 933 mill. on TORM's shareholding in Norden and dividend
received of DKK 73 mill. The result is considered highly satisfactory.
During the first nine months of 2004, gross profit was DKK 1,024 mill. (against
DKK 479 mill. in the first nine months of 2003). The increase was primarily due
to a combination of higher freight rates in the Bulk division and a higher
number of earning days in the Tanker division, offset by a 9% lower average
USD/DKK exchange rate.
Profit before depreciation was DKK 963 mill. (DKK 413 mill.).
Depreciation was DKK 157 mill. during the first nine months of 2004 (DKK 129
mill.). The increase was due to the expansion of the Company's fleet through the
delivery of newbuildings and second-hand vessels in the period October 2003 -
September 2004, offset by the lower USD/DKK exchange rate.
Financial items were net positive by DKK 954 mill. (DKK 184 mill.). This
includes net gains on other investments and securities of DKK 935 mill.,
dividend received of DKK 73 mill., net interest expense of DKK 53 mill. and
other financial items of DKK minus 1 mill.
Profit before and after tax was DKK 1,760 mill. (DKK 468 mill.). Of this, the
Tanker division contributed DKK 343 mill. (DKK 242 mill.), while the Bulk
division's net profit was DKK 405 mill. (DKK 27 mill.). Other activities
(primarily unallocated financial items) showed a net profit of DKK 1,012 mill.
(DKK 199 mill.).
Cash flow from operating activities was positive by DKK 957 mill. in the first
nine months of 2004, primarily consisting of cash earnings and dividend of DKK
73 mill.
Cash flow from investing activities was negative by DKK 713 mill. This amount
includes investments in fixed assets, primarily vessels.
Cash flow from financing activities was DKK 27 mill. during the first nine
months of 2004. This amount mainly consists of borrowing in connection with the
delivery of newbuildings and second-hand vessels of DKK 711 mill., less
repayments on mortgage and leasing debt of DKK 422 mill., payment of dividends
to TORM's shareholders of DKK 209 mill. and net settlement of share options of
DKK 53 mill.
The total cash effect from the first nine months of 2004 was DKK 271 mill. The
Company's cash and bonds were DKK 750 mill. against DKK 479 mill. at the end of
2003.
Total assets increased in the first nine months of 2004 from DKK 4,894 mill. to
DKK 6,672 mill., mainly due to an increase in fixed assets in the period from
DKK 4,169 mill. to DKK 5,677 mill. This was positively impacted primarily by the
effect of the delivery of newbuildings and second-hand vessels, as described in
the section about fleet development, and the increased value of the Norden
investment, offset by depreciation in the period. The investment in Norden is
valued at DKK 2,587/share, the Copenhagen Stock Exchange price on 30 September
2004.
During the first nine months of 2004 the Company's net interest bearing debt
increased from DKK 1,698 mill. to DKK 1,726 mill. The increase is mainly due to
net borrowing in connection with the delivery of vessels, countered by the
positive cash effect from operations in the period.
Shareholders' equity grew from DKK 2,464 mill. to DKK 3,948 mill. in the first
nine months of 2004, primarily as a result of the earnings in the period, less
dividends paid. Shareholders' equity as a percentage of total assets increased
from 50.3% at 31 December 2003 to 59.2% at 30 September 2004.
TORM owned 1,566,612 of its own shares at 30 September 2004, corresponding to
4.3% of the share capital. This is a reduction of 196,124 shares from 31
December 2003.
THIRD QUARTER 2004 RESULTS
Gross profit in the third quarter 2004 was DKK 344 mill. Profit before
depreciation for the period was DKK 322 mill., while profit before financial
items was DKK 266 mill. in the third quarter. Of this, the Tanker and Bulk
divisions contributed DKK 125 mill. and DKK 137 mill. respectively.
Profit before the value adjustment was DKK 260 mill.
Financial items were DKK 375 mill., chiefly as a result of a positive value
adjustment of DKK 381 mill. in the third quarter. On its own, third quarter
profit after tax was DKK 641 mill.
FLEET DEVELOPMENT
TORM has increased its owned fleet in 2004 by 25% measured in deadweight tons.
During the first nine months, the fleet has grown by three product tankers and
two bulk vessels.
In addition, TORM has taken delivery of the 1999-built MR product tanker TORM
Agnete (previously MT Zorca) in October 2004. Furthermore, TORM has exercised an
option to purchase the Panamax bulk vessel TORM Tina, which will be delivered
before the end of 2004, and acquired two MR newbuildings from the STX yard in
South Korea, which will be delivered in first/second quarter 2005.
Fleet development
1 January - 3O September 2004
1 January Additions Sales 30 September
--------- --------- ----- ------------
LR2 5.0 5.0
LR1 2.5 TORM Estrid 4.5
TORM Ismini
MR 11.0 TORM Alice 12.0
----- ----
TANKER 18.5 21.5
Panamax 4.0 TORM Marlene 6.0
TORM Baltic
Handysize 2.0 2.0
--- ---
BULK 6.0 8.0
TOTAL 24.5 29.5
Following these deliveries, TORM's order book consists of five LR2 product
tankers for delivery April 2006 - January 2008.
Additionally, TORM has options to purchase six Panamax bulk vessels. Of these,
one can be exercised in first half 2005, while the five others can be exercised
in 2007 or later.
PRODUCT TANKER POOLS
As of 30 September 2004 the three pools consist of 72 vessels. By the end of
2004, it is expected that the three pools will total 75 vessels.
DAMPSKIBSSELSKABET 'NORDEN' A/S
Two of Norden's large shareholders, A/S Motortramp and Attransco (Bermuda) Ltd.,
initiated a process in September 2004 with a view to possibly selling their
shareholdings. In connection with the sale, TORM evaluated the opportunity to
acquire the shares for sale.
The process led to the sale of 20% of Norden's share capital to Rasmussengruppen
AS, who has entered into a shareholder agreement with A/S Motortramp. Following
this sale, TORM is still Norden's largest shareholder with 727,803 shares,
corresponding to slightly less than 33% of the share capital excluding treasury
shares, but remains without influence on Norden's strategic and operational
decisions.
TORM remains satisfied with its investment in Norden, seen in light of TORM's
positive expectations of the bulk market and Norden's earning potential in 2005.
EXPECTATIONS FOR 2004
Tanker division
During the last month, the market for the Company's product tankers has
increased considerably and has reached historically high levels. However, this
increase will not have full effect on the earnings from TORM's tanker division
for the fourth quarter 2004, as agreements in the market about cargoes for the
vessels are typically entered into some weeks before the vessels commence the
voyage in question, as well as a part of the voyages is already covered at
agreed rates. As a consequence, we expect a strong start to 2005.
The background for the strong market for product tankers has been growing
consumption of oil and oil products combined with low inventories in the
industrialised world. The IEA has increased its forecast for world oil demand
from 81.5 mill. barrels/day in the third quarter 2004 to 83.8 mill. barrels/day
in the fourth quarter 2004 to 84.2 mill. barrels/day in the first quarter 2005.
The increase in oil demand is the largest in more than 20 years.
Bulk division
In the Bulk division it was originally TORM's expectation that the freight rates
would increase anew towards the end of the year. However, the freight rate level
increased already from the beginning of the third quarter 2004, but due to
TORM's relatively forward large coverage of freight rates, the increase has only
had limited effect on the rates achieved by TORM in 2004. It is, however,
positive, that as the current coverage expires, TORM can renew coverage at high
levels provided the current freight rate levels are maintained into the first
quarter 2005.
Financial expectations to 2004
The current high freight rate levels will only have limited effect in the
current year. Expectations are upgraded to DKK 1,150 mill. before tax and value
adjustment. The value adjustment in 2004 was DKK 987 mill. as of 10 November
2004
SAFE HARBOUR STATEMENT - FORWARD LOOKING STATEMENTS
Matters discussed in this release may constitute forward-looking statements.
Forward-looking statements reflect our current views with respect to future
events and financial performance and may include statements concerning plans,
objectives, goals, strategies, future events or performance, and underlying
assumptions and other statements, which are other than statements of historical
facts.
The forward-looking statements in this release are based upon various
assumptions, many of which are based, in turn, upon further assumptions,
including without limitation, management's examination of historical operating
trends, data contained in our records and other data available from third
parties. Although TORM believes that these assumptions were reasonable when
made, because these assumptions are inherently subject to significant
uncertainties and contingencies which are difficult or impossible to predict and
are beyond our control, TORM cannot assure you that it will achieve or
accomplish these expectations, beliefs or projections.
Important factors that, in our view, could cause actual results to differ
materially from those discussed in the forward-looking statements include the
strength of world economies and currencies, changes in charter hire rates and
vessel values, changes in demand for "tonne miles" of crude oil carried by oil
tankers, the effect of changes in OPEC's petroleum production levels and
worldwide oil consumption and storage, changes in demand that may affect
attitudes of time charterers to scheduled and unscheduled dry-docking, changes
in TORM's operating expenses, including bunker prices, dry-docking and insurance
costs, changes in governmental rules and regulations including requirements for
double hull tankers or actions taken by regulatory authorities, potential
liability from pending or future litigation, domestic and international
political conditions, potential disruption of shipping routes due to accidents
and political events or acts by terrorists.
Risks and uncertainties are further described in reports filed by TORM with the
US Securities and Exchange Commission, including the TORM Annual Report on Form
20-F and its reports on Form 6-K.
ACCOUNTING POLICIES
The consolidated accounts for the first nine months of 2004 have been prepared
using the same accounting policies as for the 2003 Annual Report.
The accounting policies are described in more detail in the 2003 Annual Report.
The Company expects to present its accounts in USD from first quarter 2005 in
accordance with the revised Danish Financial Statements Act.
The report for the first nine months of 2004 is unaudited in line with normal
practice.
TELEPHONE CONFERENCE AND WEBCAST
TORM invites analysts and investors to a telephone conference reviewing the
report for the first nine months of 2004 on 11 November 2004, at 17.00
Copenhagen time. The conference call will be conducted in English and will be
hosted by Klaus Kjaerulff, CEO and Klaus Nyborg, CFO. To participate, please
call 10 minutes before the call starts on tel.: +45 32 71 46 11 (from Europe) or
+1 334 420 4950 (from USA). The telephone conference will also be broadcast via
the Internet (www.torm.com), from where presentation material can also be
downloaded.
Income statement
DKK mill.
Q1-Q3 2004 Q1-Q3 2003 2003
---------- ---------- ----
Net revenue 1,855 1,458 1,928
Port expenses and bunkers -367 -492 -621
-------------------------------------------------
Time Charter Equivalent Earnings 1,488 966 1,307
Charter hire -251 -308 -405
Technical running costs -213 -179 -255
-------------------------------------------------
Gross profit 1,024 479 647
Profit on sale of vessels and interests 0 0 0
Administrative expenses -111 -105 -126
Other operating income 50 39 51
-------------------------------------------------
Profit before depreciation 963 413 572
Depreciation -157 -129 -177
-------------------------------------------------
Profit before financial items 806 284 395
Net gain/(loss) from other investments and securities 935 197 682
Other financial items 19 -13 -25
-------------------------------------------------
Profit before tax 1,760 468 1,052
Tax 0 0 -1
-------------------------------------------------
Net profit for the period 1,760 468 1,051
Balance sheet
DKK mill.
30 September 2004 31 December 2003
----------------- ----------------
ASSETS
FIXED ASSETS
Tangible fixed assets
Leasehold improvements 0 2
Land and buildings 3 3
Vessels and capitalized dry-docking 3,595 2,944
Prepayment on vessels under construction 150 229
Other plant and operating equipment 16 15
------------------------------
3,764 3,193
------------------------------
Financial fixed assets
Other investments 1,913 976
------------------------------
1,913 976
------------------------------
TOTAL FIXED ASSETS 5,677 4,169
CURRENT ASSETS
Inventories
Inventories of bunkers 30 26
------------------------------
Accounts receivables
Freight receivables, etc. 153 147
Other receivables 38 51
Prepayments 24 22
------------------------------
215 220
------------------------------
Securities
Bonds 337 316
------------------------------
Cash at bank and in hand 413 163
------------------------------
TOTAL CURRENT ASSETS 995 725
------------------------------
TOTAL ASSETS 6,672 4,894
Balance sheet
DKK mill.
30 September 31 December
2004 2003
---- ----
SHAREHOLDERS' EQUITY
Common shares 364 182
Own shares -46 -52
Retained profit 3,630 2,116
Proposed dividend 0 218
TOTAL SHAREHOLDERS' EQUITY 3,948 2,464
LIABILITIES
Long-term liabilities
Mortgage debt and bank loans 2,177 1,701
Capitalized lease obligations 0 0
2,177 1,701
Current liabilities
Next year's repayments on mortgage debt and bank loans 299 295
Capitalized lease obligations 0 181
Trade accounts payable 53 96
Other liabilities 148 102
Accruals 47 55
547 729
TOTAL LIABILITIES 2,724 2,430
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 6,672 4,894
Cash flow statement
DKK mill.
Q1-Q3 2004
----------
CASH FLOW FROM OPERATING ACTIVITIES
Profit before financial items 806
Interest income, exchange rate gains and dividends
received 105
Interest expenses -68
843
Adjustments:
Reversal of depreciation and impairment loss 157
Reversal of other non-cash movements -39
Change in inventories, accounts receivables and payables -4
Net cash inflow from operating activities 957
CASH FLOW FROM INVESTING ACTIVITIES
Investment in tangible fixed assets -713
Investment in equity interests and securities 0
Sale of fixed assets 0
including profit on sale of vessels 0
(included in operating activities)
Net cash inflow/(outflow) from investing activities -713
CASH FLOW FROM FINANCING ACTIVITIES
Borrowing, mortgage debt 711
Repayment/redemption, mortgage debt -242
Repayment/redemption, lease liabilities -180
Dividends paid -209
Purchase/disposals of own shares 6
Net settlement share options -59
Cash inflow/(outflow) from financing activities 27
Increase/(decrease) in cash and cash equivalents 271
Cash and cash equivalents,
including bonds, at 1 January 479
Cash and cash equivalents,
including bonds, at 30 September 750
Shareholders' equity
DKK mill. Q1-Q3 2004
------------
Balance at 1 January 2004 2,464
Exchange rate adjustment arose upon translation from
measurement currency to presentation currency -4
Fair value adjustment of derivative financial instruments -10
Exercise share options -59
Disposal of own shares at cost 6
Dividends paid -218
Dividends on own shares 9
Net profit for the period 1,760
Balance at 30 September 2004 3,948
Reconciliation to United States Generally Accepted Accounting Principles (US
GAAP) as of 30 September 2004
DKK mill.
Shareholders'
Net Income Equity
---------- ------
As reported under Danish GAAP 1,760 3,948
Dry-dock costs -3 -43
Reversal of write-down of vessels 1 -11
Unrealised gains/losses on marketable securities -936 -
Derivative financial instruments 2 -
Share options -62 -6
Deferred tax 7 -349
According to US GAAP 769 3,539
For a review of principles and methods used in the reconciliation, please refer
to the 2003 Annual Report.
Income statement - quarter-by-quarter
2004
Q1 Q2 Q3
DKK mill.
Net revenue 610 606 639
Port expenses and bunker -123 -103 -141
Time Charter Equivalent Earnings 487 503 498
Charter hire -84 -86 -81
Technical running costs -70 -70 -73
Gross profit 333 347 344
Profit on sale of vessels and interests 0 0 0
Administrative expenses -33 -37 -41
Other operating income 17 14 19
Profit before depreciation 317 324 322
Depreciation -50 -51 -56
Profit before financial items 267 273 266
Net gain/(loss) from other investments
and securities 851 -300 384
Other financial items -22 50 -9
Profit before tax 1,096 23 641
Tax 0 0 0
Net profit for the period 1,096 23 641
Quarter-by-quarter cash flow statement
Q1 Q2 Q3
DKK mill.
CASH FLOW FROM OPERATING ACTIVITIES
Profit before financial items 267 273 266
Interest income, exchange rate gains
and dividends received 6 78 21
Interest expenses -22 -23 -23
251 328 264
Adjustments:
Reversal of depreciation and impairment loss 50 51 56
Reversal of other non-cash movements -6 23 -56
Change in inventories, accounts
receivables and payables 13 -30 13
Net cash inflow from operating activities 308 372 277
CASH FLOW FROM INVESTING ACTIVITIES
Investment in tangible fixed assets -311 -382 -20
Investment in equity interests and securities 0 0 0
Sale of fixed assets 0 0 0
including profit on sale of vessels 0 0 0
(included in operating activities)
Net cash inflow/(outflow) from
investing activities -311 -382 -20
CASH FLOW FROM FINANCING ACTIVITIES
Borrowing, mortgage debt 425 286 0
Repayment/redemption, mortgage debt -181 0 -61
Repayment/redemption, lease liabilities -69 -91 -20
Dividends paid 0 -210 1
Purchase/disposals of own shares 6 0 0
Net settlement share options -27 -32 0
Cash inflow/(outflow) from financing activities 154 -47 -80
Increase/(decrease) in cash and cash equivalents 151 -57 177
Cash and cash equivalents,
including bonds, beginning balance 479 630 573
Cash and cash equivalents,
including bonds, ending balance 630 573 750
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
A/S STEAMSHIP COMPANY TORM
--------------------------
(registrant)
Dated: July 18, 2005
By: /s/ Klaus Nyborg
--------------------------
Klaus Nyborg
Chief Financial Officer
03810.0001 #586857