Ireland-based Ardmore Shipping has fallen to a loss in the third quarter, but sees better prospects for its tankers from the final three months on.
The net deficit was $12.2m for the period, against $4.6m a year ago.
Its 28 vessels brought in revenue of $48.92m, versus $48.65m in 2017.
But costs rose to $54.91m, up from $47.98m.
The rise was mostly due to higher commissions and voyage-related costs.
EBITDA dipped to $3.9m from $10.1m. It is not paying a dividend for the quarter.
MR future brighter
CEO Anthony Gurnee said the company has been focused on optimising its operational and commercial performance under weak charter market conditions.
"MR charter rates bottomed out early in the third quarter as the market experienced significant downward pressure from Atlantic Basin local market issues that initially presented themselves in the latter part of the second quarter," he added.
"Nevertheless, MR rates are now trending upwards, driven by increased cargo volumes and a significantly improved crude tanker market that is reducing the encroachment of larger tankers on MR trades."
Gurnee said that despite the challenging market environment, the company believes the MR tonne-mile demand outlook remains very positive, supported by continued strong underlying oil consumption growth.
A record low orderbook, combined with scrapping that has accelerated during the recent market downturn, should result in net fleet growth of close to zero in 2018 and around 1% in 2019, he added.
And "the fundamental reshaping" of the global petroleum supply chain related to the IMO 2020 marine fuel switch should significantly heighten MR demand from mid-2019 onward, he said.
