Western Bulk reports US$2.5m net profit in first half of 2024

(Posted on 18/08/24)

For the first half of 2024, Western Bulk Chartering AS generated a net profit after tax of USD 2.5 million from a Net TC of USD 15.1 million and Net TC Margin per ship day of USD 626. The number of vessels increased to an average of 133, up from 125 in the same period last year, driven by growth within the Panamax segment.

Western Bulk is a leading dry bulk shipping company with a commercially controlled fleet of over 100 - 150 vessels.

H1 2024 proved to be a strong first half for the dry bulk market. The Baltic Supramax Index 58’(BSI) averaged USD 13,975/day in H1 2024, 17% higher than the USD 11,974/day achieved in H2 2023 and 33% higher than H1 2023. The spread between Atlantic and Pacific markets averaged USD 924/day, down from USD 2,151/day in the same period last year.

Entering the year, the company held a long position with more vessel than cargo commitments, and thus benefited from the strong market. To a large degree, the profit from this long position has been reinvested in repositioning of vessels (back haul) from the Pacific to a typically higher paying Atlantic market, and this is expected to yield substantial returns in the second half. The cost of repositioning vessels has been lower than historical levels due to higher paying steel exports out of China. As is typical with seasonal trends, we anticipate the Atlantic market to outperform the Pacific market in H2-24. The upcoming US grain export season, along with sustained healthy volumes from the South Atlantic, would be key factors driving such outperformance.

The Board of Directors has decided not to declare a dividend for Q2-24 as working capital headroom is needed for volume growth.

In relation to the release of the first half-year results, a digital investor presentation will be held by the company’s interim CEO (Ørjan Svanevik), new CEO (Torbjørn Gjervik) and CFO (Kenneth Thu) on Tuesday 20th of August at 13:00 CET. To attend the presentation, please register via this registration link.

Latest News

INTERCARGO proposals call on IMO to review Carbon Intensity Indicator at MEPC 82

The International Association of Dry Cargo Shipowners (INTERCARGO) has submitted proposals to the International... Read more

Lloyd's Register commissioned research reveals the rapid rise of AI in maritime

In the past 12 months, the maritime AI market has seen an explosive expansion, nearly tripling in size... Read more

Weathernews and Lauritzen Bulkers sign new 3-year contract

Weathernews, a global leader in weather intelligence and maritime solutions, has to announced a new... Read more

Decrease in medical disembarkations thanks to proactive health measures

Columbia Shipmanagement (CSM), a member of the Columbia Group, is reporting a noticeable decrease in... Read more

Mintra secures DNV certifications for Trainingportal and Seably platforms

Mintra, a leading provider of digital learning and human capital management solutions to the maritime... Read more

Partnership to provide mental health training for officers

Global marine services provider Oceanic, through its SeaMed24 Medical Solutions, will offer VIKAND&rsquo... Read more

Whitepaper highlights EU directives to put seafarer welfare in spotlight

VIKAND, in collaboration with other key maritime stakeholders, has published an analysis to advise the... Read more

ClassNK releases report ‘ClassNK Alternative Fuels Insight (Version 2.0)’

ClassNK has updated its report ‘ClassNK Alternative Fuels Insight’ initially released in... Read more

Technology key to reducing maritime emissions, DNV report

Reaching shipping’s 2030 decarbonization goal of 20% emission reductions, set by the International... Read more

AtoB@C Shipping christens Stellamar in Ystad

AtoB@C Shipping, a subsidiary of ESL Shipping, celebrated the christening of its second plug-in hybrid... Read more