Norwegian chemical tanker player Odfjell has shrugged off a dip in its net earnings in the third quarter of its 2024 financial year, claiming that while freight rates come down as predicted from their second-quarter highs, the market remains healthy.
Odfjell chief executive Harald Fotland said: “Odfjell continues to perform well, with another solid result in the third quarter.”
The company revealed it had earned a net profit of $71m during the quarter, down from $88m in the second quarter.
Time-charter earnings came in at $202m during the third quarter, down from a record $215m in the preceding quarter.
Odfjell said its volumes remained stable and a limited number of contracts were renewed during the quarter, with rates up 7% on average.
“Although the spot market has softened since the record levels seen last quarter, it remains at healthy levels. We expect another strong quarter in the fourth quarter, but below the third due to weaker spot markets,” Fotland continued.
Net result contribution from Odfjell Terminals was $2.9m, which was described as being “in line” with the second quarter.
Highlights mentioned for Odfjell’s third quarter included taking delivery of one newbuilding on long-term charter and, after quarter end, declaring a purchase option for one 41,000-dwt stainless steel vessel, currently on bareboat charter, which is to be delivered early in 2026.
Odfjell said its “strong performance” on safety continues with high operational efficiency and no significant incidents during the quarter.
