World News
WFS: No New Risks in Marine Market
Speaking on the company's earnings call, Michael Kasbar, president and CEO of World Fuel Services Corp. [NYSE:INT] (WFS) said the company's growth in bunker volume sold is not the result of taking on additional risk.
In response to a question from Jonathan Chappell of Evercore Partners, Kasbar said the company benefitted from volatility in the market in the second quarter of 2013 but did not seek out extra risk.
"It's really steady as she goes, nothing has really changed," he said.
"The market is still kind of tricky."
Kasbar added that the company faces "slack demand" in the marine market.
"We've grown our volume, but it certainly has fairly challenging environment," he said.
"So, our comments really were that we don't expect there to be any revelatory recovery any time soon.
"And it will be, I think a good outcome if we were to repeat this quarter."
Kasbar also said WFS has not seen any customers scale back on doing business with it due to the Lac- Mégantic disaster.
Revenues for WFS's marine operations rose 5 percent year-over-year to $4 billion for the quarter.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 504.50 | 2.50 | 620.00 | 3.00 |
| Rotterdam | 456.00 | 1.50 | 621.50 | 2.00 |
| Houston | 476.00 | 7.00 | 624.00 | 1.00 |
| Fujairah | 496.50 | 2.00 | 713.00 | 2.50 |
| Global 20 Ports Average | 526.50 | 0.50 | 712.00 | 0.50 |
| Global 4 Ports Average | 483.00 | 2.00 | 644.50 | 0.50 |
| Global Average Bunker Price | 570.50 | 1.50 | 751.00 | 1.00 |
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