Odfjell misses Q2 mark

Norwegian tanker owner Odfjell has slipped further into the red than anticipated during the second quarter.

Jan Hammer-led Odfjell saw its bottom line sag to negative $26m in the three months to the end of June.

Its loss was deeper than both the $2m reversal recorded at this stage in 2013 and the $15.4m loss consensus, according to a report from Danske Bank.

Its operating loss of $9m for the quarter was also down on the $2.1m deficit analysts had been projecting.

Odfjell’s chemical tanker fleet booked a marginal operating gain of $1m, which marks a fall from the $6m seen at this point in 2013.

It says the quarter started fairly well for the chemicals market before slowing from mid-May.

“Contract and spot volumes increased, and we had only minor cancellations or interruptions of trade,” Odfjell said. 

“Combined with improved utilization of our ships, our time-charter result increased by more than 10% compared to the previous quarter.”

The company’s tank terminals business carried a $17m quarterly operating loss, not helped by an $11.8m restructuring charge linked to its Rotterdam terminal that will lead to significantly lower costs. 

Odjfell says its chemical tanker fleet will produce similar numbers in the third quarter.

Its terminals division will be stable overall with gradually better performance from Rotterdam, the report said.

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