Klaveness Combination Carriers ASA: Q3 2019 results
Oslo, 08 November 2019: Klaveness Combination Carriers (“KCC”) announces its results for the third quarter of 2019.
Highlights
Both the CLEANBU and CABU fleet delivered strong earnings in Q3 supported by a healthy dry bulk market and efficient combination trading. The CLEANBU earnings ended at USD 22,802/day, 1.7 x market earnings of standard LR1-tankers, while the CABU earnings improved to USD 17,287/day, 1.7 x market earnings of standard MR-tankers.
KCC delivered positive EBT in Q3 of USD 1.5 million. EBITDA improved by 84 % compared to Q2 2019 on the back of the higher CABU and CLEANBU earnings.
KCC took delivery of the two CLEANBU vessels MV Barracuda and MV Barramundi in July and September, respectively and the vessels started combination trading in Q3 and early Q4.
2020 CABU contract discussions are progressing well, supported by a stronger tanker spot market and positive tanker market outlook for 2020. Around 70 % of the planned caustic soda capacity of the CABU fleet for 1st half 2020 is booked to date.
The phase in of the new CLEANBU vessels is progressing well. Lead time from delivery to start of combination trading has been further reduced and the first switch from dry to Clean Petroleum Product cargo was successfully completed on MV Barracuda in October.
KCC continues its policy of quarterly dividend payments and has announced dividend payments of USD 0.5 million (USD 0.01 per share)
Engebret Dahm, CEO Klaveness Combination Carriers ASA, says:
«We are pleased to report substantial TCE earnings improvements in Q3 with both KCC’s CABU and CLEANBU vessels earning 1.7 times the comparable standard tanker vessels. We are especially pleased with the commercial and technical progress for the CLEANBU business with CLEANBU TCE earnings ending at around USD 22,800/day in Q3, proving the superior earning capacity of this new vessel type».
For further queries, please contact:
Engebret Dahm, CEO
Telephone +47 22 52 62 62
Liv Dyrnes, CFO
Telephone +47 22 52 61 51
About Klaveness Combination Carriers ASA:
KCC is the world leader in combination carriers, owning and operating currently nine CABU and three CLEANBU combination carriers with another five CLEANBU combination carriers on order for scheduled delivery in the period 2020 - 2021. KCC’s combination carriers are built for transportation of both wet and dry bulk cargoes, being operated in trades where the vessels efficiently combine dry and wet cargoes with minimum ballast. In wet mode the CABUs are designed to carry heavy liquid cargoes, such as caustic soda solution (“CSS”), while the CLEANBUs are designed to carry both clean petroleum products (“CPP”) and CSS.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
