World News
ECA Operator Tallink Cites Higher Bunker Costs for Profitability Decrease in 2017's Q1
AS Tallink Grupp (Tallink) today, in its unaudited consolidated interim financial report for 2017's Q1, said higher bunker costs negatively impacted the company's profitability during the period, helping drive the company to an unaudited Q1 net loss of €20.3 million ($22.07 million).
The group says its gross profit amounted to €14.9 million ($16.2 million) during Q1, a €11.6 million ($12.61 million) decrease compared to the same period of 2016.
Meanwhile, Q1 EBITDA amounted to €5.3 million ($5.76 million), a €11.0 million ($11.96 million) year-on-year decrease.
"The first quarter profitability was impacted by lower passenger number from holiday season effects, less revenue from chartering, higher fuel cost, and higher ships operating costs from more ships in operations," explains Tallink.
As Ship & Bunker reported in October, Tallink has signed contracts with Estonia's AS Eesti Gaas (Eesti Gaas) and Finland's Skangas AS (Skangas) for the supply of liquefied natural gas (LNG) to the ferry operator's new LNG-powered vessel, Megastar.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 491.00 | 2.50 | 592.50 | 16.50 |
| Rotterdam | 445.00 | 13.00 | 593.50 | 11.00 |
| Houston | 443.50 | 6.50 | 601.50 | 5.50 |
| Fujairah | 487.00 | 10.50 | 711.00 | 12.00 |
| Global 20 Ports Average | 517.50 | 1.50 | 697.00 | 3.00 |
| Global 4 Ports Average | 466.50 | 3.50 | 624.50 | 0.00 |
| Global Average Bunker Price | 559.50 | 2.50 | 736.00 | 2.00 |
Popular Now More
-
May 05BP was listed by the MPA as being in the top ten of its licensed bunker suppliers by volume in 2024, and came in at seventh place in 2023 and sixth in 2022. -
May 05The executive had worked for Glander since June 2006. -
Apr 30The new hire was previously director of marine fuel marketing at UET Marine in Houston.