Odfjell SE 2Q18: Tank terminal transactions will further strengthen Odfjell SE but the company experienced another challenging quarter in the chemical tanker markets.
Odfjell SE today reported its results for Second Quarter 2018. The results reflect the impact of the sale of the Rotterdam terminal, while underlying results from Odfjell Terminals improved compared to the previous quarter. The chemical tanker market remains challenging, but Odfjell’s TCE performance remains stable.
Odfjell SE reports EBITDA of USD 37 million compared with USD 34 million in the previous quarter.
Highlights for the second quarter of 2018:
- EBITDA of USD 28 million from Odfjell Tankers compared to USD 27 million in first quarter.
- ODFIX was down 0.4% for the quarter compared to the general market index declining by 1.5%.
- EBITDA of USD 9 million from Odfjell Terminals compared to USD 6 million in first quarter.
- USD 58 million of impairments, and tax losses of USD 43 million related to the sale of the Rotterdam terminal. The transaction is expected to have a positive cash contribution of about USD 100 million.
- Net results of USD -120 million compared to USD -12 million in last quarter.
Subsequent events:
- Odfjell Terminals entered into an agreement with Koole Terminals B.V. of the Netherlands (Koole) to sell its 100% ownership of Odfjell Terminals Rotterdam (OTR).
- Odfjell has agreed to acquire Lindsay Goldberg’s (LG’s) indirect shareholding in the Antwerp terminal for USD 27 million subject to certain conditions related to LG’s exit.
“The sale of our Rotterdam terminal will further strengthen Odfjell SE as a company. The planned increase in our shareholding in our j/v terminal in Antwerp will ensure a foothold in Europe, with Antwerp being the most important port for chemicals in the EU. Chemical tanker spot rates weakened further during the quarter, but we continued to outperform the market indexes due to strong contract coverage”
Kristian Mørch, CEO of Odfjell SE.
The results will be presented by CEO Kristian Mørch and CFO Terje Iversen on August 24th at 09:30, Felix Conference center in Oslo. A live webcast will simultaneously be available on Odfjell.com (Investors /Reports and Presentations).
The presentation will be held in English.
Report: Second Quarter 2018 Presentation: Second Quarter 2018
IR contact:
Bjørn Kristian Røed, Manager Investor Relations & Research
Tel: + 47 55 27 47 33
E-mail: bkr@odfjell.com
