Norwegian shipowner Ocean Yield is upbeat about prospects for more sale-and-leaseback deals this year.
Chief executive Andreas Rode told an earnings call: “We’ve been able to transact with leading shipping companies and played an instrumental role in their fleet renewal, newbuild and S&P activity.
“Following increasing newbuild and S&P activity, we are constructive on the outlook for investment activity in the year ahead.”
Rode said the ambition remains to selectively pursue growth with new and existing customers: “As always, client selection remains paramount as we seek to partner with the right clients.”
The KKR-owned company’s net profit increased to $23.3m in the fourth quarter, up from $21.1m in the same period of 2022.
Revenue grew to $59.8m from $55.4m year on year.
In the final three months, Ocean Yield bought a 2016-built suezmax for charter to Nordic American Tankers and two 2022-built suezmaxes backed by charters to Euronav.
Finance chief Eirik Eide told the call that the owner stayed active on the financing side in the final quarter.
“We have signed four new loan agreements for the financing of eight newcastlemax newbuildings. In addition, we have signed three new loan agreements for the financing of the three suezmax vessels that we acquired,” he said.
Most new vessels funded
Eide said the “major part” of the newbuilding programme is now fully financed.
“We are still seeing very strong interest from banks for the long-term financing,” he said.
He also explained that Ocean Yield has proactively managed upcoming debt maturities, holding $94.8m in its perpetual $125m bond and NOK 460.5m ($43.4m) of the NOK 750m issue due in December this year.
“We have also very limited debt maturities in 2024,” he said.
