Tanker Investments Posts Strongest Quarterly Profit Since Inception

by Ship & Bunker News Team
Friday May 15, 2015

Bermuda-based Tanker Investments Ltd. has reported its strongest quarterly results since it began operating one year ago.

Net income for the first quarter of 2015 was $19.1 million, with earnings per share (EPS) of $0.52. 

Revenues have also jumped to $42.3 million compared to the $2.2 million record in the first three month's of the company's inception.

According to CEO William Hung, the strong spot tanker rates experienced in the first quarter of 2015 are expected to carry over into the second quarter, which will also be helped by ongoing low oil prices, low fleet growth,and increasing oil demand.

Positive tanker market fundamentals are expected to continue into 2016, he said. 

Hung also added that “with asset values approaching long-term averages, Tanker Investments has concluded the asset acquisition phase and is now well-positioned to generated significant cash flow from its one hundred percent spot-traded fleet."

The Teekay Corp. spinoff company had previously announced that it would be acquiring six Suezmax tankers.

The new additions are expected to increase fleet size by 43 percent once they are delivered in the second quarter of this year. 

The company added that once "leverage and liquidity have reached comfortable levels," it intends to start distributing excess capital to shareholders. 

Last year, Tanker Investments took delivery of eight tankers in the second quarter.

Ship & Bunker News Team
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