• 2018 August 17 13:21

    TORM posts H1 2018 interim results

    “Despite healthy end-user consumption, the product tanker market remained under pressure in the second quarter of 2018. Nevertheless, I am pleased to see TORM outperformed commercially when comparing to relevant benchmarks and peers,” Executive Director Jacob Meldgaard is quoted by the company's press service as saying.

    “We have continued to take steps to further renew and optimize our fleet by taking delivery of one LR2 newbuilding in the second quarter and exercising newbuilding options for three MR vessels. In addition, we have to date decided to install scrubbers on 14 of our vessels to prepare for the expected consequences of the IMO sulfur emission directive that will come into force in 2020,” Meldgaard said.

    EBITDA for the second quarter of 2018 was USD 29.4m (2017, same period: USD 35.7m). The loss before tax amounted to USD 8.6m (2017, same period: USD -1.5m). Cash flow from operating activities was positive with USD 25.1m in the second quarter of 2018 (2017, same period: USD 38.5m) and loss per share (EPS) was 12 cents (2017, same period: -3 cents). Return on Invested Capital (RoIC) was 0.1% (2017, same period: 2.1%).
     
    EBITDA for the half year ended 30 June 2018 was USD 66.7m (2017, same period: USD 79.8m). The result before tax for the first six months of 2018 was a loss of USD 7.5m (2017, same period: profit of USD 3.3m). Cash flow from operating activities was positive with USD 43.0m in the first six months of 2018 (2017, same period: USD 65.3m) and loss per share (EPS) was 12 cents (2017, same period: 5 cents). Return on Invested Capital (RoIC) was 1.2% (2017, same period: 3.0%).
     
    In the second quarter of 2018, TORM achieved TCE rates of USD/day 12,944 (2017, same period: USD/day 13,841). In the second quarter of 2018, product tanker freight rates started out at levels close to the levels seen in the first quarter of 2018, but the rates started to slide towards the end of the quarter.
     
    As of 30 June 2018, 15% of the remaining total earning days in 2018 were covered at an average rate of USD/day 16,323. As of 7 August 2018, 55% of the remaining total earning days in Q3 2018 were covered at USD/day 11,856.
     
    TORM has decided to install scrubbers on 14 vessels including all vessels currently on order and the three LR2 vessels that were delivered earlier in 2018. These vessels have a scrubber-prepared design and there are no changes to the delivery schedule. As of today, TORM’s scrubber program covers four LR2s, two LR1s and eight MRs.
     
    In early April 2018, TORM exercised newbuilding options for three MR vessels for a total net consideration of USD 93m of which USD 63m is financed by banks. The three vessels are scheduled to be delivered in 2019 through the first quarter of 2020.
     
    TORM took delivery of two LR2 newbuildings in the first quarter of 2018 and on 20 April 2018 a third newbuilding, TORM Hellerup, was delivered. In June 2018, TORM redelivered the chartered LR2 vessel TORM Margrethe to its owner after expiry of the charter period. As of 30 June 2018, TORM’s fleet consists of 74 owned vessels, four chartered-in vessels and ten vessels on order.
     
    As of 30 June 2018, TORM’s available liquidity was USD 442m and consisted of USD 159m in cash and USD 283m in undrawn credit facilities. As of 30 June 2018, net interest-bearing debt amounted to USD 598m. As of 30 June 2018, TORM's net loan-to-value (LTV) ratio was 54%.
     
    Based on broker valuations as of 30 June 2018, TORM’s Net Asset Value (NAV) excluding charter commitments was estimated at USD 840.3m. This corresponds to a NAV/share of USD 11.4 or DKK 72. TORM’s book equity amounted to USD 882m as of 30 June 2018. This corresponds to a book equity/share of USD 11.9 or DKK 76.3.
     
    Based on broker valuations, TORM’s fleet including newbuildings had a market value of USD 1,675m as of 30 June 2018. Compared to the broker valuations as of 31 March 2018, the fleet value has increased by USD 75m. Of the USD 1,675m, the value of new vessel contracts entered into in Q2 2018 summarized to USD 111m. Compared with Q1 2018, the broker value of the comparable fleet has decreased by USD 36m, totaling a net increase of USD 75m.
     
    As of 30 June 2018, TORM’s order book stood at ten newbuildings: one LR2, two LR1s and seven MRs, all from Guangzhou Shipyard International, China. The LR2 vessel is expected to be delivered in the third quarter of 2018 and the LR1s and the MRs in 2019 through the first quarter of 2020.
     
    The book value of the fleet was USD 1,450m as of 30 June 2018 excluding outstanding installments on the newbuildings of USD 306m.

    About TORM
    TORM is one of the world’s leading carriers of refined oil products. The Company operates a fleet of approximately 80 modern vessels with a strong commitment to safety, environmental responsibility and customer service. TORM was founded in 1889. The Company conducts business worldwide. TORM’s shares are listed on NASDAQ Copenhagen and NASDAQ New York (tickers: TRMD A and TRMD).




2018 November 21

11:12 NYK looks to FinTech to realize cashless ships
10:56 Nobel laureate will speak at VIII International Forum "Arctic: Today and the Future" with a report on climate change
10:33 Transport Week participants named imperfect regulations the key problem of seaborne transport
10:10 Brent Crude futures price up 1.63% to $63.55, Light Sweet Crude – up 1.7% to $54.34
09:49 SHI receives AiP from LR for INTELLIMAN smart ship solution
09:35 Bunker prices continue decreasing at the Port of Saint-Petersburg, Russia (graph)
09:14 Baltic Dry Index is down to 1,003 points

2018 November 20

18:21 Igor Levitin suggests separating positions of Deputy Transport Minister and head of Rosmorrechflot
18:06 MAN Energy Solutions wins order to supply the engine for a new dredger in southern China
17:53 Workshop aimed at building oil pollution preparedness and response capacity held in the Republic of Guinea
17:36 “K” Line announces delivery of new LPG carrier for Gyxis Corporation
17:18 Atomflot: first delivery of fish by NSR expected in summer-autumn season of 2019
17:04 Diana Shipping announces time charter contract for m/v Sideris GS with Berge Bulk
16:47 Rashid Sharipov as Chairman of the Board of Directors NCSP BoD
16:25 NIBULON Shipbuilding and Repair Yard launched second POSS-115 Project tug
16:04 OOCL announces improvements to Asia – Middle East 1 and Asia – Middle East 3
15:50 Storage area line launched at Vostochny Port’s Phase 3
15:34 New overpass at Maasvlakte 2 opens
15:03 Port of Oakland works to reduce impact of trucks
14:33 The port of Marseille Fos is engaged in reducing shipemissions by developing LNG as a marine fuel
14:03 Teesport Intermodal Rail Terminal celebrates fourth anniversary
13:43 12th Transport of Russia Forum and Exhibition opens in Moscow
13:10 Damen signs with Rimorchiatori Spezzini for two new Damen ASD Tugs 2411
13:02 Bunker prices are going down in the Far East ports of Russia (graph)
12:38 CCCC Dredging supports the 6th Forum of Dredging Companies as its Sponsor
11:54 Concession agreement signed for construction of coal terminal “Lavna”
11:30 OOCL introduces the new West Africa Service 2
10:45 Major ASW ship Severomorsk of RF Navy's Northern Fleet escorts Indian civilian vessel in the Gulf of Aden
10:23 Russian Railways’ BoD makes decision on discounts for cargo transportation in 2019
10:00 Brent Crude futures price down 0.39% to $66.53, Light Sweet Crude – down 0.24% to $57.06
09:19 Baltic Dry Index is down to 1,023 points
08:51 Valenciaport container vilume increased by 4.78% in the last twelve months
07:51 Klaveness Combination Carriers declares option for sixth combination carrier newbuild

2018 November 19

18:37 IMO holds workshop boosting maritime security in Gulf of Guinea
18:05 MOL conducts tabletop drill for LNG carrier
17:49 Hapag-Lloyd to start new Asia – Gulf Service (AGS)
17:43 Busan Port Authority signs Letter of Intent for the Maasvlakte Distribution Park West
17:01 Ocean Network Express expands the partnership of Asia - South America
16:32 BIMCO standard ship repair contracts overhauled
16:05 Port of Hamburg railborne container transport up 4.3 percent in the first nine months of 2018
15:44 FESCO and DB Cargo plan to launch joint transit shipments from China to Europe via Kaliningrad
15:10 Costamare announces the acquisition of the York Capital majority interest in five 14,000 TEU containerships
14:56 Half a billion tones of Kazakhstan oil lifted from CPC Marine Terminal
14:47 Saipem 7000 semi-submersible at Damen Verolme Rotterdam for DPS upgrade
14:33 OpenRisk launches guideline for risk management at sea to improve response to accidental spills
13:59 NCSP Group's consolidated cargo turnover for January-September totaled 105,253 thousand tons
13:11 Average wholesale prices for М-100 HFO down to RUB 19,660 in RF spot market
12:47 ABP invests over £1 million on a rooftop solar project at the Port of Goole
12:18 Damen supports 2nd Dredging and Hydraulic Engineering Structures Congress as its General Sponsor
12:00 The Fjords plans to add another all electric passenger vessel to its fleet
11:36 TOTE Services' Philip Greene Jr. retires next year
11:02 Damen Shipyards Group celebrates Multraship Carrousel RAVE Tug winning KNVTS Ship of the Year Award
10:44 Port of Oakland cargo volume up 3.9 percent in August - October 2018
10:43 Throughput of Port Vysotsky up 9.4% to 6.34 million tonnes in 10M’18
10:19 Brent Crude futures price up 0.69% to $67.22, Light Sweet Crude – up 1.02% to $57.26
09:57 Media Group PortNews issues special edition of its magazine for Transport Week 2018
09:35 Rosmorrechflot reduced operation period of locks in Volga-Don Basin
09:18 Baltic Dry Index is up to 1,031 points

2018 November 18

16:21 Wellington ferry skipper fined $1,688 after grounding
15:04 SFL continues its fleet renewal programme, to sell its 2002-built VLCC