15th Jan 2015 08:18
LONDON (Alliance News) - Braemar Shipping Services PLC shares rose early Thursday after the shipping, marine and energy services company said the performance of its shipbroking arm has improved in the second half of the year.
Braemar maintained its full year guidance as it said the performance in the shipbroking arm improved in the second half, reflecting the integration of ACM Shipping and cost cutting measures.
Despite the fall in the oil price, freight rates, which drive its revenue, has increased in a number of sectors, Braemar said, with the weaker oil price resulting in increased demand for oil tankers. That, in turn, resulted in improved shipbroking rates.
The company's logistics and technical arms performed in line with expectations, with the logistics business boosted by improving freight forwarding activity and a strong performance for Braemar Engineering.
Braemar shares were up 5.7% to 422.55 pence in early trade, one of the best performers in the FTSE All-Share index.
By Sam Unsted; [email protected]; @SamUAtAlliance
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