Stolt-Nielsen S.A. Reports Unaudited Results For the Third Quarter and First Nine Months of 2009
October 06 2009 - 2:00AM
Marketwired
Stolt-Nielsen S.A. (Oslo Børs: SNI) today reported unaudited
results for the third quarter and nine months ended August 31,
2009.
Highlights for the third quarter of 2009 compared with the
second quarter of 2009 included:
* Net profit attributable to shareholders increased to $30.9
million from $27.7 million.
* Revenue rose to $429.1 million from $393.3 million.
* Stolt Tankers reported an operating profit of $14.2
million, up from $1.7 million, driven by customer inventory
replenishment and rising demand in China and other Asian markets.
* The Stolt Tankers Joint Service Sailed-in Time-Charter
Index[1] increased by 10.1% to 1.20 from 1.09.
* Stolthaven Terminals reported an operating profit of $14.0
million, up from $11.9 million, reflecting growth in both revenue
and equity income from joint ventures.
* Stolt Tank Containers reported an operating profit of $13.2
million, down from $18.4 million, as margins narrowed due to higher
ocean freight costs and increased price competition.
* Stolt Sea Farm reported an operating profit of $0.5
million, down from $4.9 million. Results were negatively affected
by a $1.2 million reduction in the fair market value of
inventories, compared with a $4.0 million increase in the prior
quarter.
Commenting on the Company's results, Mr. Niels G. Stolt-Nielsen,
Chief Executive Officer of SNSA, said:
"SNSA's third-quarter results in tankers were stronger than
expected. Our performance in tankers reflected a pickup in chemical
exports to China, driven in part by the effects of China's economic
stimulus programme. A substantial portion of the specialty-chemical
volumes we carried to Asia this quarter originated in the U.S.
Gulf, where the weak dollar and low natural gas prices have made
U.S. exports more competitive. The tank container division's
third-quarter margins were squeezed as a large number of container
ships were laid up, which reduced supply and resulted in higher
ocean freight cost. Terminals' profits continued to grow as more
capacity was commissioned."
"Despite the strength of our third-quarter performance, we
continue to believe that 2010 and 2011 will be challenging years
for the chemical tanker industry. The strength of the economic
recovery and the fundamentals of supply and demand remain the key
issues. We expect growth in global demand to be more than offset by
the increased supply of ships, as a large number of newbuildings is
expected to enter the market. This imbalance will persist until
more ships are recycled, or until we see a material and sustained
surge in global trade, either of which could take up to 24 months.
The impact on the more sophisticated parcel tanker niche may be
less dramatic as the newbuilding orderbook is more in line with the
expected growth in demand."
[1] The Stolt Tankers Joint Service ("STJS") Sailed-in
Time-Charter Index is an indexed measurement of the sailed-in rate
for the Joint Service and was set at 1.00 in the first quarter of
1990 based on the average sailed-in time-charter result for the
fleet at the time. The sailed-in rate is a measure frequently used
by shipping companies, which subtracts from the ships' operating
revenue the variable costs associated with a voyage, primarily
bunker cost, port costs, sublets, transshipments and commissions.
In the third-quarter of 2009 Stolt-Nielsen Inter Caribbean Service
was separated from the STJS and will be treated as a regional
small-tanker service going forward. The impact on the STJS
sailed-in index was positive 2.3% for the quarter. Without this
change the index would have been 1.17. We do not consider this
change to be material and have therefore not restated prior
periods' index values.
SNSA 3Q09 Earnings Release:
http://hugin.info/154/R/1345860/323143.pdf
Jan Chr. Engelhardtsen
Chief Financial Officer
UK +44 (0) 20 7611 8972
j.engelhardtsen@stolt.com
Jens F. Grüner-Hegge
V.P. Corporate Finance
UK +44 (0) 20 7611 8985
j.gruner-hegge@stolt.com
This announcement was originally distributed by Hugin. The
issuer is solely responsible for the content of this
announcement.
Copyright © Hugin AS 2009. All rights reserved.
Stolt Nielsen . (NASDAQ:SNSA)
Historical Stock Chart
From Apr 2024 to May 2024
Stolt Nielsen . (NASDAQ:SNSA)
Historical Stock Chart
From May 2023 to May 2024