Ocean Wilsons (OCN) H2 2024 earnings summary

Executive summary

• 2024 marked a pivotal year with the announced sale of Wilson Sons, the Brazilian maritime services subsidiary, expected to complete in Q2 or Q3 2025, with proceeds partially returned to shareholders via a tender offer for up to 20% of shares.

• The company will focus on long-term value creation through its investment portfolio post-transaction, leveraging global investment relationships.

• Wilson Sons delivered strong operational and financial results, contributing significantly to group profit before its classification as discontinued operations.

Financial highlights

• Profit after tax rose 15.5% to $119.1m (2023: $103.1m); net assets increased 2.9% to $839.4m.

• Investment portfolio net return was 5.3%, below the 2023 return of 8.3%.

• Net debt decreased 29.8% to $336.1m; net cash inflow from operating activities up 44% to $185.3m.

• Earnings per share increased 6.9% to 202.7c; dividend paid per share up 21.4% to 85c, with a proposed 2025 dividend of 122c (+43.5%).

• Share price rose 8.3% year-over-year to GBP 13.00.

Outlook and guidance

• The Board plans a tender offer for up to 20% of shares post-Wilson Sons sale, with further strategic use of remaining proceeds under review.

• Investment portfolio expected to face increased volatility in 2025 due to anticipated US policy changes, but remains positioned for steady growth.

• Commitment to sustainable financial performance, robust capital management, and continued shareholder returns.