EBIT increased by 12% to EUR 282 million (HY1 2014: EUR 251 million). Net profit attributable to holders of ordinary shares increased by 17% to EUR 162 million (HY1 2014: EUR 138 million). Vopak divested seven terminals and two plots of land and consequently its worldwide storage capacity on a 100% basis decreased by 1.1 million cbm to 32.7 million cbm compared to year-end 2014. Total exceptional gain before taxation amounts to EUR 3 million, which comprises several gains and losses.

Vopak reconfirms its outlook for 2015 to realize an EBITDA -excluding exceptional items- that exceeds the full year 2014 result (EUR 763 million), whereby we currently expect that the EBITDA -excluding exceptional items- of the second half of the year will not be higher than the EBITDA of the first six months of 2015 due to the impact of divestments and the more challenging business circumstances in Asia.

Eelco Hoekstra, Chairman of the Executive Board and CEO of Royal Vopak:

“In the first half of 2015 we are encouraged by a solid financial performance with improved overall results. This performance was supported by healthy demand for our services, mainly in Europe and the Americas, and positive foreign currency exchange rate developments. In Asia, we experienced the effects of the slowdown of economic growth in China and an overall challenging competitive business environment.

We are on track with the execution of our strategy as communicated on 2 July 2014. As part of the divestment program, we completed the divestment of terminals and land positions in the United States, Turkey, Sweden and Finland and will continue to align our global terminal network with the long-term trends in the energy, chemicals and gas markets.

Going forward, we keep our undiminished focus on free cash flow generation through among others further optimization of our capital expenditures and cost levels, while never compromising on safety and service. The Asia division is expected to contribute less in the remainder of the year due to challenging business circumstances and the initially delayed positive contribution of our new joint venture terminals in China.

Vopak expects for 2015 to realize an EBITDA -excluding exceptional items- that exceeds the full year 2014 result.”

Storage capacity developments HY1 2015

Since the end of December 2014, our worldwide capacity has decreased by 1.1 million cbm following our divestment program, to a total of 32.7 million cbm as per the end of HY1 2015.

In the first half year of 2015, Vopak commissioned phase 1C (413,000 cbm) of Pengerang Independent Terminals (Malaysia), commissioned six pressurized storage bullets (36,800 cbm) in Vlissingen (The Netherlands), commissioned additional capacity (48,200 cbm) in Montreal East (Canada) and finalized the divestment of three terminals in the United States (300,700 cbm) and the four terminals in Sweden (1,260,700 cbm). These, and some other smaller capacity developments, resulted in a total storage capacity of 32.7 million cbm at the end of HY1 2015.

All projects currently under development will add once completed 5.8 million cbm of storage capacity to our global network (on a 100% basis) in the period up to and including 2019.

The announced divestment of Finland will reduce the storage capacity by 0.2 million cbm.

Strategic investments and divestments

Total non-current assets increased with EUR 147.1 million to EUR 4,962.0 million (31 December 2014: EUR 4,814.9 million). In the first half year of 2015, total investments amounted to EUR 257.8 million (HY1 2014: EUR 361.6 million), of which EUR 179.8 million was invested in property, plant and equipment (HY1 2014: EUR 250.6 million). The remainder primarily relates to investments in joint ventures of EUR 62.4 million (HY1 2014: EUR 13.6 million) including the acquisition of an additional 2.4% share in our joint venture Gate Terminal for EUR 10.6 million. Of the investments in property, plant and equipment, EUR 71.6 million was invested in expansions at existing terminals (HY1 2014: EUR 113.7 million).

In the first half year of 2015, Vopak completed the divestment of three terminals and a plot of land in the United States, a land position in Turkey and four terminals in Sweden. The divestment of these terminals and plots of land led to a net exceptional gain (after tax) of EUR 37.9 million.

Our two terminals in Finland were classified as held for sale per the end of June 2015 and we completed the divestment on 15 July 2015, after the reporting period.

According to the strategic review, the Group will reduce the sustaining and improvement capex amount for the period mid-2014 up to and including 2016 from EUR 800 million to EUR 700 million. The total sustaining and improvement capex for the first half year of 2015 amounted to EUR 88.7 million (HY1 2014: EUR 125.4 million).