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Odfjell SE: First quarter 2021 results impacted by seasonality and weather disruptions

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Odfjell SE today reported its results for the first quarter of 2021. The report shows that the chemical tanker market and Odfjell’s results were negatively influenced by seasonality, disruptions of COA volumes caused by the unprecedented freeze in Texas, and a challenging CPP market. 

 Highlights for 1Q21

  • Timecharter earnings in Odfjell Tankers of USD 120 million compared to USD 125 million in  4Q20
  • Net result contribution from Odfjell Terminals of USD 0.2 million compared to USD -0.6 million 4Q20
  • EBIT of USD 8 million compared to USD 18 million in 4Q20
  • Net result of USD -16 million compared to USD -3 million in 4Q20. Excluding extraordinary items, net result was USD -14 million compared to USD -1 million in 4Q20
  • Temporary blocking of the Suez Canal had minor impact on operations
  • Reported Annual Efficiency (AER) for Odfjell’s managed fleet as of 1Q21 is 8.53, slightly up from 8.44 in 1Q20, but ahead of the Sustainability Performance Target trajectory: On track towards the set company goal for 2030
  • Acquired JV partner’s share in Odfjell Gas’ two gas carriers and the vessels are now owned and incorporated in Odfjell Tankers
  • The Board decided not to recommend a dividend for FY 2020

​​​​​​​”The first quarter of 2021 was impacted by a challenging chemical tanker market with disruptions in supply chains due to extraordinary weather conditions and Covid-19, and a weak CPP market. Underlying fundamentals remain strong, and we expect our markets to improve throughout the year. Following the end of the largest fleet renewal program in the history of the company, we are now well positioned to generate improved free cash flow and strengthen our balance sheet. We expect to report improved results in 2Q21”, CEO Kristian Mørch said. 

Please see attached for the 1Q21 report and presentation. Odfjell SE will present the results in a live webcast at 10:00 CET today, followed by a Q&A session. Follow the webcast at https://www.odfjell.com/investor/webcast/. Questions can be posted in the webcast player during the live presentation.

IR Contact:
Bjørn Kristian Røed, VP Corporate Analysis & IR
Tel: +47 40 91 98 68
E-mail: bkr@odfjell.com

The Odfjell Group is one of the leading players in the global market for seaborne transportation and storage of chemicals and other specialty bulk liquids. The Odfjell fleet comprises of approx. 90 ships, which trade both globally and regionally. The tank terminal division consists of five tank terminals and is part of a network of another 11 tank terminals partly owned by related parties. The tank terminals are strategically located at selected international shipping hubs. The Odfjell Group’s headquarters are in Bergen, Norway, and the Group has offices in 14 locations around the world. Odfjell employs around 2300 staff and posted annual gross revenue of USD 939 million in 2020. Read more on Odfjell.com. 

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act. 

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