CTC profits surge 23.3%, dividend declared

Cyprus Trading Corporation Pcl (CTC) reported a strong set of 2006 preliminary results with turnover up a whopping 50.2% to CYP 200.74 mln or EUR 348 mln from CYP 133.66 mln or EUR 232 mln in 2005.

Net profit after minority interest jumped by 23.2% YoY to CYP 5.57 mln or EUR 9.65 mln from CYP 4.5 mln or EUR 7.8 mln in 2005. EPS was reported at CYP 0.0602 or EUR 0.1043 vs. CYP 0.0494 (EUR 0.0856) in 2005.

CTC’s turnover increased by 50.2% YoY to CYP 200.7m mainly driven by the strategic joint-venture with Air Rianta International (CTC-ARI Airports Ltd) for the management of the commercial airports of Larnaca and Paphos airports for the next 25 years, and the addition of Ermes Department Stores Public Ltd as a subsidiary company in CTC in the last quarter of 2006.

CTC-ARI Airports Ltd (’CTC-ARI’) commenced operations on 1 July 2006 and contributed CYP 23.7 mln (EUR 41.0 mln) or 11.8% of total turnover. Similarly, Ermes contributed CYP 30.4 mln (EUR 52.6 mln) or 15.1% of total turnover. CTC’s turnover from existing operations (i.e. excluding CTC –ARI and Ermes) increased by 9.8% YoY to CYP 146.7 mln (EUR 254.3 mln).

The bottom line was favourably affected by the increased share of profits from associated companies, especially Olympos Investments Ltd and Woolworth (Cyprus) Properties Ltd, with the latter contributing CYP 1.4 mln (EUR 2.4 mln) or 24.7% of CTC’s net profit after minority interest.

The Board of Directors of CTC will propose the payment of 3.5 Cyprus cent or 6 euro cents dividend for 2006, compared to 3 Cyprus cent or 5.17 euro cents for 2005.