Norwegian chemical tanker owner Champion Shipping has reported improved results for 2020 amid expectations of better earnings this year.
The private company logged a pre-tax profit of $8.2m last year, up from $2.2m in 2019.
The improvement came even though operating revenue dropped to $44.3m in 2020, down from $57.5m a year earlier.
The Bergen-based company's board said it believes Champion's time-charter earnings will bounce back as a result of Covid-19 vaccination programmes around the world.
Rates are already starting to improve, the Karl Lodrup Kvalheim-chaired board said in an annual report that has just been made available.
Kvalheim controls 66.2% of the shares in Champion through his holding company Nesttun Invest.
The company's management affiliate, Champion Tankers, runs a fleet of MR tankers that numbers from 18 to 23 at any one time.
The fleet includes vessels controlled by EGD Shipholding and Arne Blystad's Songa Shipping. The Champion tankers have their technical management with Genoa Maritime of Greece and Thome Ship Management of Singapore.
Champion Shipping's earnings may be bolstered if it wins an ongoing $22.8m legal case.
Three years ago, the company suffered a machinery breakdown on the 43,000-dwt Champion Express (built 1999) while the tanker was on its way to Latvia.
The ship was towed back to Indonesia, where it remains pending the final outcome of litigation over the incident.
A local Norwegian court has accepted Champion Shipping's view that as the cost of repairs run to more than 80% of the tanker's value, it represents a constructive total loss.
The local court criticised insurer Gard for its handling of the insurance matter, but the protection and indemnity club has appealed the verdict.
