Total products handled and average storage and throughput revenue at Stolthaven Terminals dropped in the fourth quarter of 2015.
Fourth-quarter operating revenue for the terminals segment was $52.2 million, compared with $54.0 million in the third quarter.
The average terminal capacity at Stolthaven’s owned terminals increase slightly to 1.62 million m3. Utilisation also increase to 86.9% however, total product handled slipped by 1.7%, while average storage and throughput revenue per cubic meter of leased capacity per month dropped by 1.8%.
Operating profit for the fourth quarter was $2.6 million, down from $6.4 million in the third quarter. This was due to impairment of goodwill in New Zealand was well as accelerated depreciation of certain terminal assets in Australia and New Zealand.
The fourth quarter included write-offs of certain assets, accelerated depreciation and settlements of customer claims as well as additional maintenance expense in Houston.
Equity income from the company’s non-consolidated joint venture terminals decreased by $2.2 million in the fourth quarter, partly due to a dilution loss related to Norterminal AS, following the addition of a new partner in its subsidiary, Norterminal Floating Storage AS, and the continued closure of Stolthaven’s joint venture facility in Lingang, pending renewal of the operating license following the explosion in the Port of Tianjin in August.
Niels G Stolt-Nielsen, CEO of Stolt-Nielsen, says: ‘Poor results at Stolthaven Terminals were attributed to accelerated depreciation of certain assets and continued actions to enhance efficiency and improve profitability at Stolthaven Houston, though the underlying dynamics of the storage market remain solid.’