EMEA News
Wartsila: Annual Profits up, Scrubber Orders Buoyant
Finnish marine engineering Wartsila, which makes exhaust abatement technology units known also as scrubbers, saw profits edge up in 2017.
The company said that pre-tax profits were up 6%, sales 3% while the orderbook climbed 8% compared with the previous year. Order intake rose by 15%, the company said.
Orders for scrubbers fall under the company's marine solutions unit.
"In the marine industry, the sentiment among merchant customers improved during the latter part of the year. This, together with a healthy demand in the cruise and gas carrier segments, supported the growth of Marine Solutions' order intake," Wartsila said in an earnings statement.
For scrubbers, Wartsila received orders for 24 in the fourth quarter while 77 units were ordered for the whole year, maritime news provider Lloyd's List reported.
Marine Solutions head Roger Holm has urged shipowners to install the technology by the start of January 2020 when the global sulfur cap for bunker fuel falls to 0.5% in order to secure the best return on their investment.
"It is no use to come in late at all because you will surely have the biggest gap in the fuel price when the regulation comes into force," he was quoted as saying.
Observers in the shipping and bunker industries are expecting 2020 to start with a period of price volatility as the market adjusts to the new regulation.
