Sovcomflot Reports $393 Million Loss Amidst Sanctions
Russian state-owned shipping company Sovcomflot has announced a substantial net loss of $393 million for the first quarter of 2025.
Impact of Western Sanctions
The company attributes this financial downturn primarily to the intensification of Western sanctions. These sanctions, imposed by the United States and the European Union, aim to limit Russia's oil revenues.
"The intensification of Western sanctions has made it more difficult to operate the fleet and led to lower revenues and downtime for some sanctioned vessels," Sovcomflot stated.
Financial Performance
Key financial figures include:
- Net Loss: $393 million
- Revenue Decrease: 49% year-on-year to $278.5 million
- EBITDA Decrease: Almost 69% year-on-year to $105 million
Sovcomflot maintains that the sanctions imposed are illegal.