Klaveness Combination Carriers ASA: Q4 2019 results
Oslo, 25 February 2020: Klaveness Combination Carriers (“KCC”) announces its results for the fourth quarter of 2019.
Highlights
EBT for Q4 2019 ended at USD 1.7 million, the best quarterly result since Q2 2018. KCC’s full year result for 2019 ended at positive USD 0.6 million
CABU TCE earnings ended on a strong note at $19,002/d in Q4 and full year TCE earnings for 2019 ended at $16,877/d, being 1.2 x average daily market earnings of standard MR-tankers in 2019 as reported by brokers. CLEANBU TCE earnings ended at $18,715/d in Q4 and full year TCE earnings for 2019 ended at $18,300/d, being in line with daily average market earnings of standard LR1-tankers in 2019. However, earnings for both the CABU and CLEANBU fleet is well above TCE earnings reported by standard product tanker peers
The introduction of the CLEANBUs is progressing well with increasing number of customers, cargoes and terminals being serviced by these new vessels. Share of CLEANBU on-hire days in combination trading fell to 58 % in Q4 partly due to temporary effects
70% of the caustic soda volume for the CABUs have been secured for full year 2020 and 94% for first half 2020
KCC issued a NOK 500 million bond in February 2020 with a margin of NIBOR + 4.75%, down 0.5% compared to the existing KCC03 bond
KCC continues its policy of quarterly dividend payments and has announced dividend payments of USD 0.5 million (USD 0.01 per share) for Q4 2019
Engebret Dahm, CEO Klaveness Combination Carriers ASA, says:
«We are pleased to report the best quarter since Q2 2018 with an increase in EBITDA of above 15% compared to third quarter and positive EBT of USD 1.7 million. The CABU fleet delivered strong TCE earnings of $19,002/d in fourth quarter bringing the full year 2019 TCE earnings to $16,877/d, 1.2 x earnings of standard MR-tankers. The phase-in of our new CLEANBU fleet continues to show good progress delivering continued strong earnings in combination trading of $22,130/day and with average TCE earnings of $18,300/day for full year 2019».
APM: CABU and CLEANBU TCE earnings USD/day for Q4 2019 and full year 2019 are alternative performance measures (APM) which are further described and reconciled in the quarterly report for Q4 2019, note 2 (page 16-17). Earnings for the CLEANBUs in combination trading of $22,130/day (APM) for 2019 are reconciled in the Q4 presentation, slide 35. See link for report and presentation: https://www.combinationcarriers.com/investor-relations/#reports-presentation.
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 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. Through their high utilization and efficiency, the vessels emit up to 40% less CO2 per transported ton compared to standard tanker and dry bulk vessels in current and targeted combination trading patterns.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
