Reading the Interim Financial you may have to wait sometime for...

Reading the Interim Financial you may have to wait sometime for the massive potential to arrive.

Although putting on the watch list might be worthwhile.

Richfield Marine Agencies (S) Pte Ltd Segment (RMA)
The revenue for the current period had increased by 22% to A$1.430M and a net pre-tax profit of A$729K was
recorded in this half-year as compared to A$371K booked in the corresponding period 2012. The increase in
revenue and profitability is due to both favourable exchange rates and a general rise in the volume of
shipments/services leading to increased revenues coupled with cost management strategies.
Due to the brisk business experienced in the half-year, RMA maintained its gross margin levels at 87% (2012: 91%).
Despite the general gloomy outlook in the global shipping industry, RMA is expected to maintain its current
performance to end-2013.
Speeda Shipping Co (S) Pte Ltd Segment (SSC)
The continuing tumble of global sea freight rates in the first half of 2013 has cast an untenable environment for
operations for principal lines. Shipping firms continue to slash rates to abysmal levels to vie for ever-shrinking cargo
volumes as global exports continue to decline in the current economic climate.
In view of the current and mid-term market conditions, management has made a strategic decision to
temporarily suspend the services of SSC within the half year to abate further foreseeable losses to the Group.
The implementation of this strategy has effectively stemmed losses by SSC for the half-year; gross margin has
turned around to 2.0% from (2.4%) from the previous year, and an alleviation of losses by 60% year-on-year to
A$(80)K (2012: A$(195K)).
Market and industry reviews will be conducted on a regular basis to ascertain the optimal time for SSC to re-enter
the market. At the present stage, management foresees that current market conditions will persist till end-2015
before any recovery is expected.