Clarkson, the world’s largest shipbroker, has hiked its dividend and reaffirmed its full-year guidance as it flagged “favourable” supply and demand dynamics in the global shipping industry.
In its unaudited interim results for the six months ended 30 June 2024, the company declared an interim dividend of 32p per share, up from last year’s 30p.
Clarkson has increased its dividend for 22 consecutive years.
The FTSE 250 shipbroker also reported revenue for the period of £310.1m, down from £321.1m the prior year. Underlying pre-tax profit also dipped marginally, from £53.1m to £51.5m.
Citing strong forward orders, chief executive Andi Case said the company had “confidence that we will be second half weighted,” with full-year results in line with expectations.
Shares in Clarkson, which employs over 2,000 people in 60 countries, are up over 38 per cent this year to date.
In the statement, the firm reaffirmed its full-year profit guidance despite flagging a “challenging” geo-political and economic backdrop.
Clarkson said seaborne trade was projected to grow by 2.3 per cent year-on-year. Disruption to shipping routes as a result of challenges in the Red Sea and Panama Canal meant the tonne-mile impact of the enhanced demand forecast would rise 5.4 per cent, it added.
Freight rates, which have exceeded the 10-year average during the first half of the year, are likely to stay high amid an oversupply of vessels to the market.