FSL Trust Management (FSLTM) posted a profit of USD6.15 million for the second quarter ended 30 June 2015, up 516% year on year on higher revenue.
The Singapore-listed shipowner’s second-quarter revenue climbed 19.9% to USD27.5 million through its strategic deployment of redelivered vessels and improved timecharter rates.
FSLTM’s total bareboat charter revenue grew 11.5% year on year to USD21.0 million, as higher revenue from vessels employed in pools, through revenue-sharing arrangements, and on the spot market outweighed a decline in timecharter revenue.
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In July 2015, the company signed new charter contracts for the tankers FSL Shanghai, FSL Hamburg, and FSL Singapore.
“Following the conclusion of 2Q15, we secured new timecharter contracts for three tankers with a leading global commodities trader,” said CEO Alan Hatton.
“The timecharter agreements are expected to commence during the second half of this year and are anticipated to generate up to USD61 million in revenue for the trust over the next three years. The new rates are substantially higher than existing timecharter rates for the three vessels and this will ensure positive cash flow for the trust.”
FSLTM expects its bareboat charter counterparties to continue to maintain profitability by securing timecharters at improved rates.