Norway's Thor Dahl Shipping has returned to profitability in its latest annual report but expects better results ahead as the impact of the strong containership market works its way into its books.
The Sandefjord-based shipowner logged a pre-tax profit of NOK 72m ($7.9m) for 2020, up from a loss of NOK 48m a year earlier.
But the company was not consolidated as a group, so the annual report does not fully reflect its earnings.
Also, managing director Henning Torp said it takes some time for booming rates to filter through to the results, and he expressed optimism for his company's prospects in the boxship trade.
"It usually takes some time before a strong market materialise in strong revenue," he said. "When we went into 2020 our ships were employed, albeit at lower levels."
After an injection of fresh capital from its shareholders, Thor Dahl reported book equity of NOK 140m at the end of 2020, up from NOK 97m a year earlier.
Torp said the ships' charters have been renewed at improved terms.
Thor Dahl owns three containerships, ranging in capacity from 2,168 teu to 2,824 teu, that were built between 1999 and 2003.
Torp did not rule out buying more ships in the future. He said he views emission-free shipping as attractive for the shipowner, but it has no concrete investment plans at the moment.
Tradition-rich Thor Dahl, whose roots date back to 1887, was one of the first Norwegian shipowners to target the boxship market.
Company chairman Tom Bergesen controls about 40% of the company's shares. JO Odfjell, an owner of eight tankers that is controlled by Johan Odvar Odfjell, also owns 40%.
