Interim report
8/16/2000 6:26 AM EST
INTERIM REPORT FOR CONCORDIA MARITIME AB (publ) 1.1 - 30.6 2000
* Result after financial net sek 26.3 (3.3) million
* Healthy tanker market in second quarter
* Tanker market continues to be very healthy after end of period
* Product tanker Stena Barbados sold
* Continued safe and efficient ship operation
The market situation for large tankers has not been better since the 1970s,
a welcome development after several poor years. Concordias resources are
mostly invested in older, very well-maintained vessels which, in todays
market, generate a high return on a limited amount of capital.
The first Stena V-MAX class tanker will be delivered in March, 2001,
followed by newbuilding no. 2 three months later, both signed to three-year
charters with the US oil company Sun. These vessels were ordered during a
period of low prices with better opportunities for demanding good technical
specifications than is possible today.
Sales and result
Consolidated sales amounted to sek 497.4 (406.6) million. The profit after
financial items, including the sale of a ship, was sek 26.3 (3.3) million
and the profit per share after tax was sek 1.18 (0.34) and sek 0.84 (0.36)
after full conversion.
During the period, Concordias large tankers were employed on the spot
market while its other vessels were employed in timecharter. The year began
with very low freight rates which have gradually improved and are now at
their highest level since the Gulf War in 1991. The average freight rate
for Concordias VLCCs (Very Large Crude Carriers) was usd 10,300 per day
in the first quarter and usd 20,500 per day in the second quarter.