Thoresen keeps improving

Thoresen Shipping has built on its impressive start to the year with a strong second quarter, figures released Wednesday show.

Net profit surged to THB 123m ($3.8m) from a loss of THB 70m a year ago despite the January-March period typically being low season in the dry bulk sector.

Thoresen said the performance was “the strongest second quarter result in four years of operation, on the back of improved revenue generation and continued control on costs.”

Revenue increased 65% year-on-year to THB 1.8bn partially driven by an increased number of vessels under operation.

Lower depreciation expenses resulting from impairments performed during the fourth quarter of 2013 helped to boost the latest quarter.

Thoresen said its fleet achieved timecharter equivalent (TCE) rates of $10,528 per day compared to $8,651 a year ago, a 22% improvement.

Daily operating expenses averaged $3,962 per ship, which Thoresen said was “well below the industry average of $5,121 per day”.

In additional total costs were also reduced, by 8% year-on-year, to $8,745 per day compared to $9,511 per day during the same period in 2013.

“We have added five vessels to our fleet since the beginning of 2014 and have opened a new office in South Africa, to better serve the needs of our customers,” said Chalermchai Mahagitsiri, chief executive of parent company Thoresen Thai Agencies

“We plan to further expand our fleet to minimum of 25 vessels (up to 30 vessels) by the end of 2014, depending upon the availability of suitable used vessels in the market.”

Earlier this week Thoresen was being linked with the acquisition of Japanese-built bulker for a reported price of $22m.

It is said to have bought the 56,000-dwt Orient Rose (Built 2006) from OMC Shipping, according to shipbroker reports.