d’Amico International enjoyed its best first half since 2008 with group net profit rising to USD18.7 million in 2Q15 from a mere USD1.7 million in the same period last year.
The Luxembourg-based listed product tanker unit in the Italian shipping group d’Amico also saw revenues increase to USD110.1 million from USD72.3 million.
In the first six months of 2015 the company reported a profit of USD30.0 million against a loss of USD5.5 million a year earlier and revenues rose to USD213.1 million from USD141.1 million. It said all tanker markets are robust at this time.
“Our growth strategy both in terms of owned and time chartered-in vessels [from an average of 39 vessels in H114 to 52 in H115] has proven very successful so far. The trend we have been talking in the last years of refineries moving away from main consuming regions, it is now reality and our market has been reacting very positively,” said Marco Fiori, CEO, in a statement.
“Utilisation rates of refineries on both sides of the Atlantic have been good even in the summer months that are usually quieter due to maintenance, which has resulted in volatility in pricing of refined products and good flows of trade in both directions,” said Eirik Haavaldsen, shipping analyst at Pareto Securities in Oslo.
Related news: D’Amico enters long-range tanker market
This again has been good news for d’Amico as these trades are the principal employers of MR tankers, he told IHS Maritime. Forty-three of the 52 vessels d’Amico operates were MR tankers at the end of June, the company’s website shows.
“From an investor point of view, shares in the company have been lagging their peers due to the fact that it is listed in Italy, but it has started to catch up,” Haavaldsen noted.
Fiori said the management intends to consolidate d’Amico’s leading position in the product tanker industry and in that view, during 2Q15 it added four LR1 newbuilding vessels to its orderbook. It now has 20 ships on order, with a combined value of USD667 million. The company also added four MR tankers to its fleet on charter contracts.
“The outlook for the product tanker market remains positive going into 3Q15. The increased refining capacity in the Middle East region should stimulate refined products tanker demand through 2015, as production seems destined for export markets. The increase in Asian refining capacity and very attractive refining margins should be supportive of products exports. Refinery maintenances will soon come to an end in all regions,” d’Amico said.