Record quarter for stock exchange winners

Odfjell management expects further growth in the current quarter.

(E24) Odfjell OdfjellChemical shipping company listed on Oslo Børs. presents the figures for the first three months of the year on Tuesday evening, which show growth from the same period last year, writes E24.

• The result after tax ended at 68 million dollars, against 47 million dollars.
• Timecharter earnings were 195 million dollars, against 181 million dollars.
• The operating result (ebitda) was 127 million dollars, against 110 million dollars.

SEB analyst Jon Nikolai Skåland highlights in a note that Odfjell beat expectations in the market. He writes that these were already “high”.

SEB expects that the analysts’ profit estimates will increase in the wake of the report, it appears. The finish is referred to as “solid”.

– Record

– Odfjell delivered a record result in the first quarter of 2024. This reflects the tight market situation due to increased tonne miles tonne milesA unit of measurement used to measure the amount of freight transported and the distance it travels.-demand, and we also continued to raise rates this spring COA COAContract freight rates. Stands for contract of affreightment.portfolio, says CEO Harald Fotland.

– This, in combination with a professional and dedicated organisation, provides a solid basis for future results, he continues.

In the company’s own guidance, it is emphasized that the management “expects that earnings will increase further” in the second quarter.

– We expect to see that rates and earnings will increase going forward, in line with Odfjell’s guidance, comments Skåland in SEB.

The TCE rate for the ships was USD 33,005 per day in the first quarter, up from 30,818 dollars in the same period the previous year.

Stock market winner

Odfjell has risen sharply on the stock exchange this year. The A share is up 58 percent since the turn of the year.

SEB writes in an analysis from April that they “expect fantastic years ahead”.

The development and expectations are driven by a strong market for clean petroleum products, longer sailing distances and limited fleet growth.

Some of this is due to the situation in the Red Sea, where the ships have to sail a longer route around Africa due to attacks. The Panama Canal is also characterized by delays due to drought.

– Even if the situation in the Red Sea and Panama is resolved immediately, the outlook for the market for chemical tankers is favorable with few ships on order for delivery in the short term, Odfjell’s management emphasized on Tuesday.