Viking Supply Ships has reported a bigger loss in the fourth quarter, which saw the company’s platform supply vessel (PSV) fleet idle.
Its net deficit from October to December grew from SEK 123m ($13.8m) to SEK 145m.
With deteriorating daily rates and lower utilisation, Viking’s revenue was lowered from SEK 278m to SEK 75m year-on-year.
Viking recognised an impairment charge of SEK 46m in respect of its PSV fleet during the fourth quarter.
It explained the ships will remain in warm lay-up in 2017, which means the cash flow will be negative from 2017 to 2019, when market conditions are expected to improve.
Viking has taken measures to battle the downturn, reflagging four ships from Denmark to Norway.
All of the share issues related to its financial restructuring have now been completed, the company added.
With regards to 2017, Viking expects the Polar Code to come into effect, a development expected to have a positive effect thanks to the company’s specialised fleet.
