The Belgian tanker owner reported negative net income of $34.9m, versus a loss of $40.5m in the same period a year ago, while Ebitda rose to $24.8m from $17.6m year-on-year.
Euronav blamed the red run on a decline in demand for crude oil, the global economic slowdown, seasonal refinery turnarounds and excess worldwide fleet capacity.
The company, whose shares trade on NYSE Euronext, said suezmaxes earned $15,750 per day on average in the spot market and around $22,100 when employed in the period arena.
Twelve months ago the same units were raking in roughly $15,100 daily in spot fixtures and $26,000 on time charters, according to a time charter equivalent summary that many equity analysts use as a compass when forecasting rates achieved by other publicly-traded rivals.
VLCCs trading in the Tankers International (TI) pool, whose ranks include ailing US-quoted shipowner Overseas Shipholding Group, recorded day rates of $11,500 on average in the three months to 30 September as they had in the comparable period a year prior.
In the first leg of the fourth quarter Euronav said it saw levels fall to $11,100 on average per day for VLCCs tied to the TI pool and indicated 57% of the available days have been fixed. The company described the rates as “extremely low” for a time of year that typically enjoys a seasonal surge.
Looking at the year ahead the shipowner said “one can only hope” that its peers will continue to send ageing tankers to the scrap yard as it believes this is one of the few trends that can restore balance in a market plagued by chronic oversupply.
“Until that moment, seasonal demand and strictly applied slow speed policies should allow a modest recover in earnings during the winter,” it told investors in a report that failed to shed light on whether the company intends to shed assets in an effort to enhance cash reserves.
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