Weaker freight rates have resulted in Precious Shipping posting a lower fourth-quarter net profit compared with a year ago.
The Bangkok-listed shipowner reported a net profit of $9.1m in results released on Tuesday — some $8m lower.
Average earnings per day per ship were $12,429, down from the $14,343 per day achieved in the corresponding quarter in 2022.
The highest daily earnings in the last three months of 2023 were $26,546 compared with the $36,948 per day posted 12 months earlier.
The company’s bulkers achieved an average time charter equivalent rate of $10,907 per day in 2023, lower than the average rate of $19,924 per day in 2022.
Precious said the average vessel running cost per day increased from $4,895 in 2022 to $5,205 in 2023, primarily due to higher dry-docking and special survey expenses, and stores/spares expenses.
The average technical downtime was eight days per vessel, as 13 ships underwent dry-docking and special surveys during the year.
The Precious fleet comprises 38 ships on the water: 21 handysizes, eight ultramaxes and nine supramaxes with an aggregate capacity of 1.65m dwt.
In the final quarter, the company raised around $160.5m in fresh loans to finance possible newbuildings as well as to refinance an existing loan and to refinance two handysize bulkers.
Among the new loans was a $105m sustainability-linked loan to fund the acquisition of up to six bulkers.
The loan was secured from the International Finance Corp, Export-Import Bank of Thailand and Credit Agricole Corporate & Investment Bank.
In 2023, Precious said it signed six loan agreements for a total of $244m, of which it has drawn around $105.1m.
