2013-03-14
The number of profitable regulated market companies is increasing, but their profits are decreasing
Out of 32 companies, whose securities are traded on the regulated markets, more than three quarters finished 2012 profitably. Also, many companies earned larger net results.
“Although the profits of companies fell, the losses of loss incurring companies also significantly decreased. There was also an increase in profitable and a decrease in loss-incurring companies,” concluded Vaidas Cibas, Head of the Regulated Market Supervision Division of the Financial Services and Markets Supervision Department of the Bank of Lithuania.
In 2012, 25 companies reported profit, in total earning LTL 705.8 million in net profits, while 7 companies experienced an LTL 101.7 million loss. Although the number of profitable companies grew by a fifth over the year, their net profits decreased by 35 per cent. There were a third less loss-incurring companies last year; they curtailed their losses by half. The results can still be adjusted by the audit.
In the last quarter of last year, 21 companies earned a profit of LTL 168.6 million while 11 companies experienced LTL 47.8 million in losses. Compared to the same period in 2011, profits decreased by 63 per cent, while losses were three quarters fewer. The number of profitable companies increased from 17 to 21, while loss-incurring companies decreased from 14 to 11.
In 2012, the revenue and cost of companies grew 5 per cent — reaching LTL 14.3 billion and LTL 11 billion, respectively. In the fourth quarter alone, compared to 2011, both the revenue and cost of companies grew rapidly — 10% (up to LTL 3.85 billion) and 9 per cent (up to LTL 2.92 billion), respectively.
In 2012 and the fourth quarter of that year, compared to 2011, the revenue of consumer services sector companies grew the most — 47 and 32 per cent, respectively. The growth of this sector was determined most by the increasing revenue of two companies — Avia Solutions Group, AB and AB Apranga.
Last year, over twelve months and the fourth quarter, 62.5 per cent and 75 per cent of companies, compared to 2011, improved their net result, i.e. companies earned more net profits or experienced fewer loss or escaped them.
In the fourth quarter of 2012 the results were most improved by AB Limarko laivininkystės kompanija, while the net profits of AB Sanitas decreased the most.