Oil tanker business "does well"

At the end of the third quarter of 2024, many oil tanker businesses announced positive production and business results.

Continuously reporting profits

At the end of the third quarter of 2024, Pacific Petroleum Transportation Joint Stock Company (PVTrans Pacific) recorded positive production and business results. Accordingly, the company's net revenue from sales and service provision decreased by more than 36% compared to the same period last year, reaching more than 359 billion VND. However, profit after tax reached 68.9 billion VND, up 23.2% compared to the same period last year.

Currently, oil tanker freight rates and time charter rates remain high, helping businesses bring in positive profits (Illustration photo).

Accumulated in the first 9 months of 2024, PV Trans Pacific recorded revenue of nearly 1,100 billion VND, down 11% over the same period. Profit after tax reached more than 174 billion VND, up 11.1% over the first 9 months of 2023.

Vitaco Petroleum Transport Joint Stock Company also saw positive profit growth. In the third quarter alone, Vitaco had a profit of more than VND19.4 billion, an increase of more than VND5 billion (equivalent to about 33%) compared to the same period last year. Vitaco explained that the consolidated after-tax profit in the third quarter increased by more than VND5 billion compared to the same period mainly due to the good performance of coastal transport business activities.

Vipco Petroleum Transport Joint Stock Company recorded net revenue in the third quarter of over VND159 billion, up more than 23% over the same period last year. However, due to increased cost of goods sold and business management costs, Vipco's after-tax profit in the quarter was about 10% lower than last year, reaching over VND21.4 billion.

Recently, Vietnam Shipping Joint Stock Company (Vosco) has also continued to achieve economic efficiency from the oil tanker business. In the first 9 months of 2024, the company's after-tax profit from consolidated business results reached more than 340 billion VND, an increase of more than 600 times compared to the same period in 2023. However, in the third quarter of 2024, Vosco still lost more than 15.3 billion VND from consolidated business results.

High "anchored" time charter rates

Explaining the business results in the third quarter, a representative of PV Trans Pacific said that profits increased because the company's fleet continued to operate in the international market with good freight rates. In addition, reduced interest expenses, reduced exchange rate differences and increased financial revenue also affected the company's profits.

With positive business results, recently, PV Trans Pacific welcomed the oil/chemical tanker Pacific Pride with a capacity of 50,697 DWT, increasing PV Trans Pacific's fleet to 4 ships with a total capacity of more than 300,000 DWT and diverse types such as Aframax, MR, FSO...

According to Vosco representative, although the dry cargo and container ship market still faces many difficulties, the company has closely followed developments and taken advantage of market opportunities, especially for oil tankers. At the same time, it continues to apply solutions in business operations to increase revenue and improve management and operation efficiency.

From the first quarter of 2024, Vosco has chartered two more chemical vessels, Dai Hung and Dai Thanh, to manage and operate on a bareboat charter basis for a period of 3 years, thus generating additional revenue from these two vessels.

Not only that, businesses also regularly evaluate, consider and take advantage of appropriate times to sign transportation contracts with appropriate freight rates, especially for oil tankers.

At the same time, continue to apply many effective solutions to control costs, especially large costs such as repairs, fuel, spare parts... to improve business results as well as ensure safety in operation. Improve the efficiency of ship maintenance to minimize incidents, ensuring the operational efficiency of ships.

Time charter rates for all sizes of vessels are currently at high levels, according to statistics from global shipping and trade data analytics firm Clarkson.

Typically, VLCC oil tankers (large tankers of about 300,000 DWT) have a 1-year time charter rate of more than 45,000 USD/day. Suezmax ships (about 150,000 DWT) have a charter rate of more than 41,200 USD/day. Aframax ships (over 110,000 DWT) have a time charter rate of about 37,500 USD/day and MR medium-sized ships (about 47,000 DWT) have a 1-year time charter rate of more than 27,000 USD/day.

According to international maritime experts, the oil tanker market has remained positive in recent times and is expected to continue to grow in the coming time, at least until 2026.

Source: https://www.baogiaothong.vn/doanh-nghiep-kinh-doanh-tau-dau-an-nen-lam-ra-192241028174851752.htm