Hunter Group ASA - First Quarter Results 2019
Net profit from continuing operations came in at USD 331 t in Q1 2019 compared to USD 1,308t in Q1 2018. The net profit in Q1 is mainly attributable to a combination of financial income and advisory fees.
Total operating expenses from continuing operations was reduced from USD 1 282t in Q1 2018 to USD 288t in Q1 2019.
Key events in Q1 2019
On 1. January 2019 Hunter Group changed its presentation currency from Norwegian kroner to US dollars. The main transactions for the
Group in 2017 and 2018 have been in NOK, but the main transactions going forward for Hunter Group ASA and Hunter Tankers AS will be in USD. As a consequence, these two companies have changed their functional currencies from NOK to USD from 1. January 2019. As such, the Group considers it beneficial to present the Group’s financial statements in USD also the comparable periods’ amounts have been changed to USD.
Post delivery bank financing in place. USD 420 m of bank financing secured from a syndicate of leading international shipping banks. The loan will finance approximately 60% of the construction cost with available draw at delivery of each vessel. Key terms 275 bps margin, 16 years repayment profile, 5 year tenor.
Negotiated earlier delivery of newbuilds
New delivery dates for the first four vessels are H.No. 5455 16/9/2019. H.No. 5456 27/9 /2019. H.No. 5457 31/10/2019 and H.No. 5460 31/10/2019.
Technical manager selected
OSM Ship Management selected as technical manager for all the Company’s Newbuildings post delivery.
Potential vessel sale
The Company has received a bid from a third party buyer for two of its Newbuldings at an en bloc sales price of USD 196 m (USD 98 m per vessel) and the company is currently in advanced discussion in finalizing a sale.
Successfully completed private placement, raising gross proceeds of approximately NOK 695 million through the allocation of 190 454 000 shares at a subscription price of NOK 3 65 per share.
Contact: Erik A.S. Frydendal, CEO. firstname.lastname@example.org