ANNUAL REPORT 2017
FIGURES 2017 Return on investment, %
4.1 Liquidity
1.7 (QR)
2
PORT OF RAUMA
Profit, %
28.3 Equity ratio, %
56
Traffic
5.95 (million tons)
CEO'S REVIEW
29
employees at the end of the year
T H E T H I R D operational year of the Port of Rauma Ltd ended on a positive note. Major investments were implemented as the new 12-metre-deep channel was opened for traffic in December, and the extension of the container terminal is on the verge of being completed. The Finnish economy was thriving for the first time in years, which was reflected in increased port traffic. In 2017, freight traffic totalled 5.95 million tons, showing an increase of 6.3 percent compared to the previous year. A record of 278,000 container units (TEU) were transported, indicating an increase of 8.8 percent compared to 2016 and an all-time record in Rauma.
A record of 278,000 container units were transported. T H E P O R T company’s investment in occupational safety as well as exemplary employee engagement have indeed borne fruit. In spring 2018, the port company reached four and a half years of accident-free operations. T H E C O M P A N Y ’ S turnover for the financial year was 11.3 million euros. The operating margin was 6.2 million euros and the operating margin percentage was 54.6%. Profit amounted to 3.2 million euros. Profit amounted to 1.2 million euros after appropriations and taxes. 0.4 million euros was recorded as depreciation (appropriations). The equity ratio was 56% and the return on investment was 4.1%. The balance sheet total was 86.0 million euros. The implemented investments will pose a long-term economic burden for the company in the form of increased depreciation. In the future, the result will be close to zero, but the company’s liquidity will remain strong. T H E P O R T of Rauma’s economic prospects are
stable at the moment. The container terminal extension was officially opened in early February of the current year, and the new crane will be ready for use at the end of May. The demand for yard space remains strong, which is why the company’s Board of Directors has decided to execute the construction phases 2 and 3 in Petäjäs shipyard. In 2019, the yard space will grow by approximately 9 hectares, which will enable the development of port services as well as the growth and diversification of traffic.
ANNUAL REPORT 2017
3
BOARD OF DIRECTORS Chairman of the Board of Directors Jari Laiho
Aarno Mannonen
Seppo Toriseva
Simo Heino
Ilse Vauhkonen
In spring 2018, the port company reached four and a half years of accident-free operations.
4
PORT OF RAUMA
PERSONNEL Average age of staff
Female employees, %
Labour input (person-years)
Managerial staff
Employees
Permanent workers
45 12
24.1
28.2
17
25
Fixed-term workers Staff training days
151
Staff training days per person
5.2
4
STAFF TRAINING THEMES Performance reviews
Interactional skills
Environmental Safety Card
Departmental trainings
ANNUAL REPORT 2017
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The container terminal capacity increased to 500,000 container units in one year
6
PORT OF RAUMA
INVESTMENTS I N 2 0 1 7 , the implementation of major investments
continued at the Port of Rauma. The deepening of the port channel was carried out in collaboration with the Finnish Transport Agency, and the 12metre-deep channel was opened for traffic on December 15, 2017. The Port of Rauma Ltd’s share of the entire project was 13.3 million euros. The new draught enables larger vessels to access the port, improving the competitiveness of the Port of Rauma and reducing traffic emissions as vessels’ cargo volumes can be doubled. T H E EXT EN SI O N of the container terminal was
started in 2016. The project continued until early 2018 due to additional work that emerged during the project. After the completion of the container terminal, up to 500,000 container units (TEU) can be handled in the port annually. I N 2 0 1 7 , approximately 16.3 million euros were allocated to the projects. In 2016, 23.3 million euros were spent on the projects, in other words, a total of 39.6 million euros have been invested in extending the port and improving its functionality.
ANNUAL REPORT 2017
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TRAFFIC I N 20 1 7, the overall traffic at the Port of Rauma
was steadily increasing. The total tonnage of cargo traffic was 5.95 million tons. In 2017, an all-time record of 278,000 container units (TEU) were transported through the Port of Rauma. The weight of transported goods totalled 2.2 million tons. Exports of liquids, crops and sawn timber, as well as imports of oil products and pulp showed the strongest growth, whereas exports of pulp, as well as imports of round timber, liquids and metals was greatly reduced. A TOTAL of 1,110 vessels called at the port in 2017
and their total capacity was 4.62 million net tons. Of total port traffic, exports accounted for 4.2 million tons, imports 1.73 million tons and domestic traffic 0.03 million tons.
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PORT OF RAUMA
Emission type
Unit
2012
2013
2014
2015
2016
2017
CO
tn / a
21
16
23
16
16
15
NOx
tn / a
289
219
311
217
226
202
PM10
tn / a
3
2
2
1
1
1
PM2.5
tn / a
2
2
2
1
1
1
SO2
tn / a
23
20
22
7
7
6
CO2
tn / a
14,624
11,315
15,577
11,320
11,577
10,274
ANNUAL REPORT 2017
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INCOME STATEMENT TURNOVER
2016
11.3
11.0
Other operating income
0.1
0.0
1.4
1.4
Personnel expenses
2.0
2.0
Other expenses
1.9
1.8
Total expenses
5.2
5.2
6.2
5.8
Depreciation
3.0
2.8
Profit, %
3.2
3.0
Financing costs
1.2
0.5
Profit before tax
2.0
2.5
Appropriations
0.4
0.5
Taxes
0.3
0.4
1.2
1.6
PROFIT FOR THE PERIOD
PORT OF RAUMA
2017
Variable costs, total
OPERATING MARGIN
10
M€
BALANCE SHEET
M€ 2017
2016
CAPITAL ASSET Intangible assets Tangible assets Investments
0.1
0.1
78.9
65.6
0.1
0.1
CIRCULATING CAPITAL Short-term receivables
1.6
1.7
Cash and bank balance
5.3
3.7
86.0
71.2
TOTAL ASSETS EQUITY Share capital
3.0
3.0
40.8
40.8
Retained profits (loss)
3.2
1.6
Profit for the period (loss)
1.2
1.6
Depreciation difference
1.6
1.2
Long-term
32.1
20.1
Short-term
4.0
2.9
86.0
71.2
Reserve for invested non-restricted equity
LIABILITIES
TOTAL LIABILITIES
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MARKETING AND EVENTS E VERY YEAR, the Port of Rauma participates in several events and organises various marketing events.
February 2017 • Logy Conference • Wood from Finland event
Satamapäivät Raumalla
Transport Logistics, Munchen
12
PORT OF RAUMA
May 2017 • Transport Logistics Fair in Munich • Zero Accidents Forum • Meremme Tähden 2017 event (For the sake of our sea) • Zero Accidents Forum
September–October • Port promotion events • Marina Days
OCCUPATIONAL SAFETY AND HEALTH THE PORT of Rauma has maintained an outstanding
safety level, which is reflected in the number of accident-free work days. On December 31, 2017, the last day of the year, the company reached a total of 1,622 consecutive accident-free days. The Finnish Zero Accidents Forum acknowledged the accomplishment by granting the company a level II safety rating (‘Approaching the World's Forefront of Safety’). A DISASTER drill WAS HELD IN RAUMA ON SEPTEMBER 7, 2017, which also functioned as an ISPS exercise.
Sick absences out of theoretical work time %
5.34
Ideas for improvement
16
Work-related injuries resulting in absence from work per million work hours
0
Close call situations
12
Safety-related observations
157
ANNUAL REPORT 2017
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ENVIRONMENT I N THE coming years, the lighting in the port area will be gradually replaced with LED lighting. The lights are systematically replaced with energy-efficient LED lights. The works began in 2017 with the installation of 12 new LED lighting masts. In addition, the lights in two old masts were replaced with LED lights. THE PORT of Rauma Ltd joined the environmental-
ly-friendly EcoPorts port network. Rauma was the network’s third Finnish company, and the first port intended exclusively for freight traffic. The network’s operations are based on open discussion and cooperation to promote environmental protection. The EcoPorts’ Self Diagnosis Method (SDM) allows ports to assess the port's environmental management and to compare it with the results of other operators, encouraging the port to further improve its environmental performance. THE SDM assessment is a comprehensive assessment of
factors that affect the environment, such as waste management and energy efficiency, in order to steer them in a more environmentally-friendly direction. AS PART of increasing environmental awareness,
all the port company employees participated in the Environmental Safety Card training. THE PORT’S impacts on the environment are monitored annually. Noise level measurements are conducted in accordance with the environmental permit, and according to the measurements, the level of noise at the port does not exceed the specified limits. THE ENVIRONME NT is also taken into account in
port charges as the oily waste disposal charge is reduced if the vessel has a certified ISO 14001 environmental management system.
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PORT OF RAUMA
ANNUAL REPORT 2017
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PORT OF RAUMA LTD Hakunintie 19, 26100 Rauma, Finland OFFICE Tel. +358 2 837 11 office@portofrauma.com firstname.lastname@portofrauma.com www.portofrauma.com