Lower charter rates and impairment charges have dragged OSG spin-off International Seaways into the red in its first financial report.
The tanker owner said the net loss was $50.9m in the third quarter, versus earnings of $52m a year earlier.
It explained that a decline in average rates in all tanker sectors along with an impairment charge of $49.6m contributed to the negative result.
International Seaways saw its revenue decline by 39% to $77.2m, while adjusted Ebitda was $35m against $81.1m.
For the first nine months of the year, the company posted net earnings of $39.5m, down from $135.6m in the corresponding quarter of 2015.
Its nine-month revenue steeply declined from $355.9m to $53.1m.
Shares in International Seaways started trading on the New York Stock Exchange last week.
They were losing 7.34% earlier today trading at $10.73 each.
The spin-off’s fleet consists of all the international-flagged tankers owned by OSG.
OSG has explained this move would create more flexibility and make both publicly traded companies attractive to investors.
