World Fuels Services Corporation [NYSE: INT] (WFS) today reported its bunker sales during 2020 fell 16.2% to 17.5 million mt, down from the 20.9 million mt sold in the period ending December 31 in 2019.
Gross profit for the firm's marine unit made a similar decline over the period, with WFS today reporting the segment generated gross profit of $151.4 million for 2020, a decrease of 17% year-over-year.
this is now the fifth straight year that World Fuel Services has reported a reduction in its global sales volume
The Miami, FL-headquartered firm said the decline was "principally attributable to reduced global-economic activity as a result of the pandemic and lower average fuel prices throughout the year."
With the impact of the COVID-19 pandemic on global bunker sales well documented, WFS may well have faced additional challenges due to US bunker sales and Cruise markets being particularly hard hit by the Pandemic last year.
Still, this is now the fifth straight year that World Fuel Services has reported a reduction in its global marine fuel sales volume, albeit prior to 2020 the decline has been a result of deliberate efforts to cut its "low-margin, low-return activity in Asia".
Overall, for 2020 WFS reported a total gross profit of $851.8 million, down 23% year-over-year.
Michael J. Kasbar, chairman and chief executive officer of World Fuel Services Corporation, said 2020 "presented some of the most challenging conditions that our company and the market has ever experienced."