Odfjell has reported its strongest quarterly EBITDA since 2008.
Its terminals segment continues to improve following its cost-cutting and efficiency programme and has had its first profitable quarter since 2013.
In the first quarter of 2016, the net result was $24 million, with improved EBITDA of $69 million compared to $45 million in the last quarter.
In its tank terminals segment, the EBITDA was $11.9 million, up from $11.4 million in the pervious quarter.
CEO Kirstian Mørch says that the benefits from its 2015 cost cutting and efficiency programme has ‘fundamentally changed the competitiveness of Odfjell’.
Performance was drivenin part by revenues from storage and PID distillation in Rotterdam and stable result for the other terminals. The occupancy rate of commercially available capacity for Odfjell Terminals was 98%.
Its facility in Tianjin is moving forward for obtaining the required operating permits as the process was severely hampered by the explosion in the old harbour in 2015.
Looking to the second quarter, the results at Odfjell Terminals (Rotterdam) is expected to stabilise for the remainder of 2016. The company says it plans to increase the storage and distillation capacity, which will add to the profitability.