Redlands ferries boost Sealink’s interim results

The Stradbroke Ferries 'Big Red Cat" is part of the Sealink fleet

The Stradbroke Ferries ‘Big Red Cat” is part of the Sealink fleet

Sealink Travel Group, the owner and operator of ferries and barges servicing North Stradbroke Island and the southern Moreton Bay islands, has announced record sales and profit in all its businesses.

For the six months to December 31 2016, Sealink posted a net profit after tax of $13.1 million, an increase of 52% compared with the six months to 31 December 2015.

The Board has declared a fully franked interim dividend of 6.0 cents per share, payable on 14 April 2017, which is an increase of 33.3% on the previous interim dividend.

Managing Director Jeff Ellison said

the first half of 2017 was one of integration, innovation and improvement where the Company focussed successfully on: integrating the recently acquired businesses and rolling out exciting innovations such as new light ferries,  in-house booking and ticketing solutions; and improving returns in existing businesses.

South East Queensland

Sealink’s south east Queensland operations include:

  • Stradbroke Ferries vehicular ferry and water taxi services to North Stradbroke Island
  • Bay Islands Transit Service – water taxi to southern Moreton Bay islands (SMBI)
  • Bay Island vehicle barging service to southern Moreton Bay islands (SMBI)

Sealink says its South East Queensland business is performing to expectations both from a sales and margin perspective.

Stradbroke services showed passenger growth and yield increases.

In its announcement the Company said:

Revenue for our North Stradbroke Island ferry operation has been ahead of expectations, primarily reflecting strong vehicle growth and yield over the previous corresponding 6 months. All other SEQ operations have been meeting expectations.

The second half of the financial year is performing in line with the Company’s expectation, with an improvement in Kangaroo Island ferry sales after adverse weather conditions in the first half, pleasing charter and dining performance in Sydney and performance ahead of expectations for our North Stradbroke operations.

In November 2016, Sealink advised investors that it was considering a range of opportunities arising out of the Queensland Government strategy to transition North Stradbroke from sand mining which is being phased out by 2019.

These opportunities include day tours from Brisbane to North Stradbroke Island.

Further Reading about Sealink

Sealink breaks records for sales and profits, in The Adelaide Advertiser, 14 February 2017

Sealink Travel Group Half Year Presentation to December 2016

Sealink South East Queensland (Site Tour) Investor Presentation 9 November 2016

Redlands2030 – 22 February 2017