“During the third quarter of 2018, we increased our activity in the dry cargo period market by adding new time charter tonnage to the fleet. Despite trade war concerns, we remain optimistic in terms of further dry cargo market improvements as fleet growth is moderate. Earnings for our gas carriers were better than expected even though the conditions for our largest ethylene carriers remained challenging”, said CEO Mads P. Zacho.
In 3Q18, the average number of controlled bulk carriers was 78 compared to 79 in 2Q18 and the average number of operated gas carriers reached 32, unchanged from 2Q18.
The handysize dry cargo market proved robust during 3Q18 despite trade war concerns, stock market volatility as well as interest hikes and ended approximately 12% above the level recorded one year ago. The market for small gas carriers also showed some resilience in 3Q18 and ended 4% above the levels one year ago for semi-refrigerated carriers and 3% above for pressurised vessels, whereas the market for ethylene tonnage was 2% below 3Q17.
3Q18 EBITDA amounted to US$1.7 million against US$9.8 million in the same period in 2017. The improvement was due to the sustained dry cargo market improvements with EBITDA up by US$4.4 million, and particularly our core fleet continued to perform better than expected. Gas carrier earnings also continued to improve.
Assets and liabilities
Total assets amounted to US$466 million, compared to US$478 million on 30 June 2018. The solvency ratio was 51%, unchanged from 30 June 2018.
Read the article online at: https://www.drybulkmagazine.com/shipping/16112018/j-lauritzen-market-improvements-expected-to-continue/