Trafigura Beheer B.V., ("Trafigura"), a market leader in the global commodities industry, has today announced financial results for the year ended 30 September 2013. Group turnover rose by 10 percent to USD133.03 billion (USD120.42 billion in 2012). Net profit rose 117 percent to USD2.18 billion (USD1.00 billion in 2012), including a gain of USD1.43 billion resulting from a reduction and the deconsolidation of Trafigura's holding in global integrated midstream and downstream oil company Puma Energy.
Gross profit rose by 10 percent to USD2.89 billion (USD2.62 billion in 2012), representing a gross profit margin of 2.2 percent, the same as in 2012. Profit from operating activities was USD2.65 billion compared to USD1.49 billion in 2012. Adjusted for the significant gain resulting from the reduction of Trafigura's stake in and the subsequent deconsolidation of Puma Energy, as well as gains resulting from other divestments in 2013 and 2012, the profit from operating activities was USD1.19 billion, a fall of 2 percent compared with USD1.22 billion the previous year.
During 2013, trading volumes in Oil and Petroleum Products rose 15 percent to 117.8m tonnes. Daily volume averaged 2.4m bbls during the year, compared to 2.1m bbls in 2012, and by year-end had reached 2.5m bbls. Trading volumes in Non-Ferrous and Bulk fell by 5.9 percent to 32.9m tonnes, but the company predicts volume growth in 2014 as a result of off-take agreements and infrastructure investments made during 2013.
"This was another year of strong financial performance, growth and investment for the future," said Pierre Lorinet, Trafigura's CFO and Managing Director Asia Pacific region. "The rise in net profit reflects a solid trading result in challenging market conditions featuring low volatility, and a significant gain realised from the reduction and deconsolidation of our shareholding in Puma Energy.
"In deconsolidating Puma Energy from the Trafigura Group balance sheet and realising this gain, we demonstrated Trafigura's ability to generate significant value from its investments. Trafigura intends to remain the largest shareholder and will continue to work with Puma Energy," said Pierre Lorinet.
Other highlights of the year included the Group making substantial continuing investment in infrastructure assets, returning to the global capital markets to raise long-term finance, expanding into important markets such as Russia and Australia.
"Our continuing programme of investment in fixed assets is expanding our access to trading flows, helping us to maintain our gross margins and increasing our ability to generate recurrent cash flows across the business," said Pierre Lorinet. "We intend to remain a private company owned by employees. We continue to use capital in a disciplined manner, releasing value when the opportunity arises and recycling capital into new projects with a view to supporting our trading business and creating new revenue streams."
In the coming year, the Trafigura Group will continue to pursue its strategy of growing trading volumes in its two core trading divisions and of investing in infrastructure assets to support trading flows.