Gross revenue fell from $333m in the first quarter 2012 to $291m in the same period 2013.
"The chemical tanker market improved slightly the first quarter of 2013, but remains at lossmaking levels. Nominations under Contracts of Affreightment (CoAs) were steady and higher spot activities made it possible to employ ships more efficiently," the company said in its earnings release.
On 1 June 2013, five of Odfjell's vessels will be returned to its fleet from the NOCT tanker pool, a recently dissolved joint venture with Saudi Arabian tanker company National Chemical Carriers. Odfjell expects the discontinuation to have a limited effect on its financial results.
Just outside of the quarter, final agreements have been signed for expansion of Odfjell's terminal joint venture with Lindsay Goldberg (LG). The deal, which involves all of Odfjell's tanker terminal assets, sees LG acquire a 49% interest in Odfjell Terminals AS (OTAS) in exchange for LG's entire share of the existing joint venture and a $219.2m cash investment in OTAS.
Commenting on the joint venture, the company said, "The transaction is expected to be finally closed in Q2/Q3 2013. The new global partnership will allow the company to pursue a growth agenda for our terminal business, particularly in China."
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